Many tax forms require complex calculations also table references to calculate a key value, or may require supplemental data that is only relevant in some cases. Rather than merging the calculations within the main form, they are often offloaded on a separate worksheet. The worksheet may be incorporated within the filing package, or may only be a equipment for the filer to get the value, but without needing the worksheet to be filed.
As an instance, in the USA, income tax is hold from the salary made by company to employees. If taxes are significantly underwithheld, there is a penalty to the employee at the end of the year, also if they are overpayment, the employee gets a refund for the overpayment of taxes. There is a basic formula for appraising the taxes that need to be paid, but various tax elements may cause it to be wrong, alike dependents, tax discounts, or income from other sources.
The W-4 form authorizes the employee to opt an exclusion level to degrade the tax elementing (to evade overpayment), or assign an extra amount above the basic number (to evade underpayment). The form comes with 2 worksheets, 1 to calculate exemptions, also another to calculate the effects of other income (second job, spouse's job). The bottom numeric in each worksheet is used to fill out 2 if the lines in the main W4 form. The main form is filed with the employer, also the worksheets are disposed or kept by the employee.
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