most tax forms need complex calculations also table references to count a key value, or may need additional data that is only relevant in several cases. Rather than merging the calculations within the primary form, they are oftentimes offloaded on a separate worksheet. The worksheet may be combined within the filing package, or may only be a equipment for the filer to get the value, but without requiring the worksheet to be filed.
As an instance, in the USA, income tax is withheld 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 overwitheld, the employee gets a refund for the overwitheld of taxes. There is a base formula for appraising the taxes that require to be paid, but certain tax elements may lead it to be wrong, like dependents, tax discounts, or income from another sources.
The W-4 form enables the employee to choose an exemption level to drop the tax %factoring (to avoid overwitheld), or assign an extra amount above the standard number (to avoid underpayment). The form comes with 2 worksheets, one to count exemptions, also the other to count the outcome of another income (second job, wife job). The bottom number in each worksheet is utilized for fill out 2 if the lines in the primary W4 form. The primary form is filed with the employer, also the worksheets are discarded or held by the employee.
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