Which of the following taxes is deducted from an employee’s paycheck?

The federal withholding tax is deducted from an employee's paycheck as part of the employer's obligation to withhold a portion of an employee's wages for federal income tax purposes. This tax is calculated based on the employee's earnings, exemptions, and the tax withholding allowances claimed on their W-4 form. The amount withheld is then submitted to the Internal Revenue Service (IRS) on behalf of the employee, and it serves to pre-pay the employee's income tax liability, helping to ensure that they do not owe a large sum when they file their annual tax return.

Sales tax, property tax, and estate tax do not typically come directly from an employee’s paycheck. Sales tax is applied to purchases of goods and services at the point of sale; property tax is assessed on real estate ownership and is usually paid by property owners, not employees directly from their wages; and estate tax is a tax on the transfer of assets after an individual's death, which is not deducted from paychecks at all. Thus, federal withholding tax is the correct choice as it is specifically designed to be deducted from employee earnings.