FUTA and SUTA taxes are paid by __________.

FUTA (Federal Unemployment Tax Act) and SUTA (State Unemployment Tax Act) taxes are indeed the responsibility of the employer. These taxes are designed to fund unemployment compensation programs.

The employer pays FUTA taxes to the federal government, which helps provide unemployment benefits to workers who lose their jobs. Similarly, SUTA taxes are collected at the state level to fund state unemployment insurance programs.

It is important to note that while employees do not contribute directly to FUTA and SUTA taxes through paycheck deductions, they do benefit from these systems since these taxes are used to provide unemployment support in the event they need it. However, the obligation to pay these taxes lies solely with the employer. This distinction is crucial for understanding payroll responsibilities and the overall function of unemployment insurance in both federal and state contexts.