Which form is specifically for reporting wages paid to employees for federal income tax purposes?

The form used for reporting wages paid to employees for federal income tax purposes is the W-2. This document is essential because it summarizes an employee's annual wages and the amount of taxes withheld from their paycheck. Employers are required to provide this form to each employee annually, detailing not only total wages but also deductions for federal income tax, Social Security, and Medicare.

Understanding the role of the W-2 is critical for both employers and employees. For employees, the W-2 is a key document for filing their personal income tax returns, as it provides the information necessary to report earnings and calculate any additional taxes owed or refunds due. For employers, correctly preparing and issuing W-2s ensures compliance with the IRS requirements, avoiding potential penalties.

In contrast, other forms mentioned in the options serve different purposes: the 940 is used to report annual Federal Unemployment Tax (FUTA) liability, the 941 is for quarterly reporting of income taxes withheld, Social Security, and Medicare taxes, and the 945 is utilized for reporting nonpayroll withholding. Each of these forms has specific uses and does not serve the purpose of summarizing employee wages for tax reporting like the W-2 does.