most tax forms require complex calculations or table references to calculate a key value, or may require extra information that is only relevant in several cases. Rather than incorporating the calculations into the main form, they are oftentimes offloaded on a several worksheet. The worksheet may be combined into the filing package, or may only be a equipment for the filer to figure out the value, but without needing the worksheet to be filed.
As an example, in the United States, income tax is calculated from the payments made by company to employees. If taxes are significantly underwithheld, there is a penalty to the employee at the end of the year, or if they are overpayment, the employee gets a refund for the overpayment of taxes. There is a basic formula for appraising the taxes that require to be paid, but several tax factors may lead it to be incorrect, alike burdens, tax deductions, or income from other sources.
The W-4 form allows the employee to select an exclusion level to degrade the tax %factoring (to evade overpayment), or establish an extra amount above the basic amount (to evade underpayment). The form comes with two worksheets, 1 to calculate discounts, or the other to calculate the effects of other income (second job, husband job). The bottom number in each worksheet is utilized for fill out two if the lines in the main W4 form. The main form is filed with the employer, or the worksheets are discarded or kept by the employee.
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