Carl is a self - employed real estate agent. For the current year, his self -employment net earnings (revenues minus expenses) are S80, 000. He isalso employed as an accountant with a gross salary of S90, 000 for theyear. Assume that the appropriate social security income ceiling for theyear is S150, 000 and that the self- employed FICA rates are 12.4% forsocial security and 2.9% for Medicare. What is Carl s self - employment taxliability for the year, rounded to the nearest dollar? SII,OOOSIO,823SII,304S9,583S12,240

Carl is a self - employed real estate agent. For the current year, his self -employment net earnings (revenues minus expenses) are S80, 000. He isalso employed as an accountant with a gross salary of S90, 000 for theyear. Assume that the appropriate social security income ceiling for theyear is S150, 000 and that the self- employed FICA rates are 12.4% forsocial security and 2.9% for Medicare. What is Carl s self - employment taxliability for the year, rounded to the nearest dollar? SII,OOOSIO,823SII,304S9,583S12,240

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter1: Federal Income Taxation—an Overview

Section: Chapter Questions

Problem 51P: Darrell is an employee of Whitneys. During the current year, Darrells salary is 136,000. Whitneys...

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