Many tax forms need complex calculations also table references to compute a key value, or may need extra information that is only relevant in some cases. Rather than combining the calculations within the primary form, they are often offloaded on a different worksheet. The worksheet may be merged within the filing package, or may only be a equipment for the filer to figure out the value, but without requiring the worksheet to be filed.
As an instance, in the USA, income tax is taken from the payments made by employers 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 base formula for estimating the taxes that require to be paid, but various tax elements may cause it to be wrong, such as dependents, tax deductions, or income from other sources.
The W-4 form permits the employee to pick an exemption level to degrade the tax elementing (to avoid overpayment), or assign an extra amount over the basic number (to avoid underpayment). The form comes with two worksheets, one to compute discounts, also the other to compute the result of other income (second job, wife job). The bottom number in each worksheet is utilized for fill out two if the lines in the primary W4 form. The primary form is filed with the employer, also the worksheets are disposed or held by the employee.
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