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Every business or organization that has employees is obligated to follow certain Federal, state and local laws and procedures regarding payroll-related issues. Every employer is responsible for withholding the appropriate taxes (Federal income tax, Social Security, Medicare, Federal and state unemployment taxes, state and local income taxes, state disability taxes, etc.) from their employees' pay, depositing these taxes into the appropriate accounts, paying the appropriate taxing agencies, and filing all of the associated returns.
