Many tax forms need complicated calculations and table references to tally a key value, or may need supplemental information that is only relevant in several cases. Rather than merging the calculations into the main form, they are oftentimes offloaded on a separate worksheet. The worksheet may be combined into the filing package, or may only be a tool for the filer to get the value, but without requiring the worksheet to be filed.
As an instance, in the USA, income tax is hold from the payments made by company to employees. If taxes are significantly unpaid, there is a penalty to the employee at the end of the year, and if they are overpayment, the employee gets a refund for the overpayment of taxes. There is a base formula for appraising the taxes that require to be paid, but several tax factors may cause it to be wrong, alike burdens, tax discounts, or income from another sources.
The W-4 form permits the employee to choose an exemption level to bring down the tax %factoring (to avoid overpayment), or establish an additional amount above the basic number (to avoid underpayment). The form arrive with two worksheets, one to tally exemptions, and the other to tally the result of another income (second job, husband job). The bottom numeric in each worksheet is used to fill out two if the lines in the main W4 form. The main form is filed with the employer, and the worksheets are disposed or held by the employee.
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