Apply Payroll Taxes to Which Amount?
QUESTION: My employee made $24,456.00 GROSS annual, but the I.R.S. told him his "taxable income" is $15,106.00
As his employer... do I apply the 15% tax bracket to the $15,106.00 OR Do I apply the 15% to his gross the $24,456.00? ... I'm totally confused... HELP !!