Many tax forms require complicated calculations or table references to compute a key value, or may require supplemental data that is only relevant in some cases. Rather than merging the calculations within the primary form, they are oftentimes offloaded on a several worksheet. The worksheet may be merged 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 US, income tax is taken from the salary made by corporate to employees. If taxes are significantly unpaid, there is a penalty to the employee at the end of the year, or if they are overwitheld, the employee gets a refund for the overwitheld of taxes. There is a base formula for assuming the taxes that need to be paid, but several tax elements may lead it to be incorrect, like dependents, tax discounts, or income from other sources.
The W-4 form allows the employee to pick an exclusion level to degrade the tax elementing (to evade overwitheld), or specify an extra amount over the standard amount (to evade underpayment). The form arrive with two worksheets, one to compute exemptions, or the other to compute the effects of other income (2nd job, wife job). The bottom numeric 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, or the worksheets are discarded or kept by the employee.
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