answersLogoWhite

0

It reports to both the employee and to the IRS, who each get a copy, how much was earned and how much was withheld, (and even how much was paid or spent on benefits). This information is critical to preparing a tax return and for the employee to receive credit for the amounts of tax withheld (as a prepayment) from his pay during the year, as well as to assure things like Social Security and insurance benefits are properly recorded and in place.

User Avatar

Wiki User

16y ago

What else can I help you with?