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least $150 In cash , wages during the year, or any employee who works for you at least 20 days during the year (regardless of total earnings) must be reported. You should file these reports with the Internal Revenue Service at the end of each year. As an employer there are four things you should do:
1. Whenever a new employee starts to work for you, copy his name and Social Security number directly from his Social Security card.
2. Keep an accurate record of the amount you pay each employee during the year and the number of days he works for you. Be sure to include only the cash wages you pay - not wages in kind, such as board and room. 3. If you have not already done so, get an employer's identification nurr\j/er from your local Internal Revenue Office by filing a Form SS-4 available at any Internal Revenue Office.
4i Report once a year to Internal Revenue the wages paid to any employee who either earned $150 in cash wages or who worked for you for at least 20 days during the year and was paid on a time basis, i.e., by the hour or day. You withhold from your employee’s pay 3-5/8% of his wages, add another 3-5/8% as the employer’s share of the tax, and send it with your report to Internal Revenue Service.
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