FPC-Remote Exam Dumps : Fundamental Payroll Certification

Comprehensive and Detailed Explanation:According toForm I-9, Employment Eligibility Verification, anunexpired U.S. passportis aList A documentthat establishesbothan employee’sidentity and work authorization.

ASocial Security card(Option A) is aList C document, which only provesemployment authorizationbut not identity.

AVoter’s Registration Card(Option C) isnot an acceptable I-9 documentfor identity or work authorization.

ADriver’s License(Option D) is aList B document, which only provesidentitybut not employment eligibility.

Form W-9is used for independent contractors (U.S. residents) butdoes NOT determine residency for tax purposes.

TheSubstantial Presence Test (B)andGreen Card Test (C)are used to determine tax residency.

Tax treaties (D) impact tax status for nonresidents.

References:

IRS Publication 519 (U.S. Tax Guide for Aliens)

Comprehensive and Detailed Explanation:UnderForm I-9 retention rules, an employermust retain the form for the later of:

Three years from the date of hire, or

One year from the termination date.

Employee hired on July 1, 2021→Three years from hire date= July 1, 2024

Employee terminated on September 30, 2022→One year from termination= September 30, 2023

Since thelatest date is September 30, 2024, that is theearliest date the employer may dispose of the Form I-9.