Since the FICA tax is split equally between employers and employees, we can conclude that the incidence of this tax is also equally shared.

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Since the FICA tax is split equally between employers and employees, we can conclude that the incidence of this tax is also equally shared.​

kingsley enagbare · Accepted Answer

Final Answer : False, Explanation :  The incidence of a tax, which refers to the actual economic burden of the tax, does not necessarily align with how the tax is nominally divided. Even though FICA taxes are split equally between employers and employees on paper, the true economic incidence depends on how the tax affects wages and employment. Market conditions, such as the elasticity of supply and demand for labor, ultimately determine how the tax burden is shared.

Since the FICA tax is split equally between employers and employees, we can conclude that the incidence of this tax is also equally shared.

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Since the FICA tax is split equally between employers and employees, we can conclude that the incidence of this tax is also equally shared.​

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Related questions

Since the FICA tax is split equally between employers and employees, we can conclude that the incidence of this tax is also equally shared.