Final answer:
To qualify for FICA exempt status, one must meet certain conditions unrelated to the options provided, such as being a qualified student or a nonresident alien on specific visas. Section 124, FSA, Section 125, and HSA do not directly grant FICA exempt status.
Step-by-step explanation:
None of the options listed (A) Section 124, (B) FSA, (C) Section 125, or (D) HSA directly qualify an individual or employer for FICA exempt tax status. FICA, which stands for the Federal Insurance Contributions Act, is the United States federal payroll (or employment) tax imposed by the federal government on both employees and employers to fund Social Security and Medicare—federal programs that provide benefits for retirees, the disabled, and children of deceased workers. To be exempt from FICA taxes, certain conditions must be met that are not directly related to the provided options. For example, some types of employees, such as qualified students employed by a school, college, or university where they are pursuing a course of study, may be exempt under certain circumstances. Similarly, Nonresident aliens on F-1, J-1, M-1, or Q visas performing work allowed by U.S. Citizenship and Immigration Services might also be exempt. To understand tax-related concepts further, here are some self-check questions explained: The 16th Amendment is the part of the United States Constitution that gives Congress the power to levy an income tax without apportioning it among the states or basing it on the United States Census. The federal government levies taxes to raise revenue needed to fund government operations and public services, such as infrastructure, defense, and social programs. The payroll withholding system is a method where employers withhold income taxes and FICA taxes from employee wages and then pay it directly to the government. A tax return is a form or forms filed with a tax authority that reports income, expenses, and other pertinent tax information, which allows taxpayers to calculate their tax liability, schedule tax payments, or request refunds for the overpayment of taxes.