Final answer:
Common law employees have their wages reported on Form W-2.
Step-by-step explanation:
Common law employees, also known as regular employees, have their wages reported on Form W-2. Form W-2 is a tax form used by employers to report an employee's annual wages and the amount of taxes withheld from their paycheck. It is also used by individuals to file their annual tax return.
It is important to accurately report income and withholdings on W-2 forms, as these figures are used to file an individual's tax return. Incorrect withholdings could result in owing additional taxes or receiving a refund when submitting the annual tax return.
The taxes withheld typically include federal income tax, Social Security tax, and Medicare, along with any applicable state and local taxes. Employers must send out the W-2 forms to employees by January 31st of the following year, ensuring that each common law employee can file their tax return by the mid-April deadline.