Which tax is specifically calculated based on the information provided in the W4 form?

The Federal Income Tax (FIT) is directly linked to the information provided on the W-4 form, which employees fill out to specify their tax withholding preferences. The W-4 form includes details such as marital status, number of dependents, and additional amounts to withhold, all of which play a crucial role in determining the amount of federal income tax an employer should deduct from an employee's paycheck.

When an employee submits a W-4 form, the employer uses this information to calculate the FIT based on the current tax brackets and withholding tables provided by the IRS. Thus, the FIT is the tax explicitly affected by the details reported on the W-4, adjusting withholding amounts to reflect an individual’s tax situation.

In contrast, state income tax may vary by state and is not exclusively determined by the federal W-4 form, but may utilize a similar state-specific withholding form. The Federal Unemployment Tax and Medicare Tax are both assessed separately and are not influenced by the W-4, making the FIT the clear choice as the tax calculated based on the W-4 information.