Income Tax Credits (LO. 6)Refer to Exhibit 8-5 and 8A-1 SCHEDULE EIC (EARNED INCOME CREDIT) 2018 EARNED INCOME CREDIT TABLE to answer the followingquestions.Determine the total allowable 2018 earned income credit in each of the following situations:a. Rina is single and earns $6,800 in salary for the year. In addition, she receives $2,200 inunemployment compensation during the year.b.C.Lachlan is single with one dependent child. During the year, he earns $8,000 as a waiter and receivesalimony of $10,000 and child support of $5,000.Zorica is a single parent with two dependent children. She earns $19,000 from her job as a mechanic.She also receives $3,000 in child support from her ex-husband.d. Elliot and Pam are married and have three dependent children. Elliot and Pam earn $12,000 and$9,000 from their jobs, respectively. They receive $800 in interest and $1,000 in dividend income.Assume the taxpayer files a joint return.

Earned income credit is the refundable tax credit which is framed by the federal government to the…

Answered: Determine the total allowable 2018…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Marilyn earns $1,400.00 bi-weekly. She has a bi-weekly taxable car allowance of $70.00 and a bi-weekly group term life taxable benefit of $25.00. Union dues of $18.00 are deducted from each pay. Her TD1 and TD1AB forms have claim code 1. Calculate the federal and provincial taxes.
John Doe is married and claims 3 withholding allowances. He collects overtime pay when he works over 40 hours a week. If his gross pay is $1,306.88, determine his weekly net earnings. Use the following deductions: FWT (Percentage Method), FICA 6.2%, Medicare 1.45%, SDI 1%, Health Insurance ($80/week), Union Dues ($4.50/week), and Trust Fund ($95/week). $891.28 $819.32 O $768.31 $786.67
9. Joe is married and claims three allowances. The gross earnings on his last biweekly check were $1,895. Find Joe's federal withholding taxes for this pay period. 10. Diana's gross earnings for last week were $589. She is single and claims two allowances. Find the deductions for her federal withholding taxes for this pay period. 11. Walter's gross earnings were $4,596 on his last monthly check. He is single and claims one allowance. Find his federal withholding taxes for this pay period.
Julie Whiteweiler made $930 this week. Only social security (fully taxable) and federal income taxes attach to her pay. Whiteweiler contributes $100 each week to her company's 401(k) plan and has $30 put into her health savings account (nonqualified) each week. Her employer matches this $30 each week. Determine Whiteweiler's take-home pay if she is head of household. Enter deductions beginning with a minus sign (-). Round your calculations and final answers to the nearest cent. As we go to press, the federal income tax rates for 2021 are being determined by budget talks in Washington and not available for publication. For this edition, the 2020 federal income tax tables for Manual Systems with Forms W-4 from 2020 or later with Standard Withholding and 2020 FICA rates have been used. Click here to access the Wage-Bracket Method Tables. Gross pay $930 HSA contributions -30 401(k) deductions -100 OASDI tax -57.66 HI tax -13.49 FIT Net pay $
Alicia works at a call center as a 911 operator. She works part-time earning $16.45 per hour, averaging 15 to 30 hours per week, 52 weeks per year. To verify her income, she has provided you with her four most recent bi-weekly pay stubs which show her gross earnings of $674.45, $740.25, $641.55, and $822.50. Alicia became delinquent on her student loans and is currently being garnished $75.00 from each of her paychecks. What is Alicia employment income? Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
The following information applies to the questions displayed below.] Haru is a self-employed cash-method, calendar-year taxpayer, who made the following cash payments related to his business this year. Calculate the after-tax cost of each payment assuming Haru has a 37 percent marginal tax rate. a. $500 fine for speeding while traveling to a client meeting. b. $800 of interest on a short-term loan incurred in September and repaid in November. Half of the loan proceeds was used immediately to pay salaries and the other half was invested in municipal bonds until November. c. $600 for office supplies in May of this year. Haru used half of the supplies this year, and he will use the remaining half by February of next year. d. $450 for several pairs of work boots. Haru expects to use the boots about 80 percent of the time in his business and the remainder of the time for hiking. Consider the boots to be a form of clothing.
Sami Terry is working as an Electrician for Siemens International in Toronto, Ontario. He earns $1500.00 on a bi-weekly basis. Sami’s Federal and provincial code for TD1 is 2(Hint: you can use 2021 tax deduction table or any other year if you prefer or PDOC). He has a cash taxable benefit of $30.00 and a non-taxable benefit of life insurance each pay period of $45.00 each pay period. He is also contributed $60.00 RPP each pay period. Required: Calculate Sami Terry’s Net Pay Check the following points if there are applicable only. Step One: Determine Gross Earnings Step Two: Determine Non-Cash Taxable Benefits Step Three: Determine CPP contributions (Use 5.45%) Step Four: Determine EI premium (Use 1.58%) Step Five: Determine QPIP premium Step Six: Determine federal & provincial tax Step Seven: Determine Northwest Territories/Nunavut (NT/NU) Payroll Tax Step Eight: Total Deductions Step Nine: Net Pay? Please Help me...
i need the answer quickly
Lorna Hall’s real estate tax of $2,010.88 was due on December 14, 2019. Lorna lost her job and could not pay her tax bill until February 27, 2020. The penalty for late payment is 612%612% ordinary interest. (Use Days in a year table.)a. What is the penalty Lorna must pay? (Round your answer to the nearest cent.) Penalty Pay b. What is the total amount Lorna must pay on February 27? (Round your answer to the nearest cent.) Total Amount
Dianne earns 19,600 per year. Her employer deducts 2,800 per year for income and social security taxes. How much money does she have for other expenses each month?
Sherina Smith (Social Security number 785-23-9873) lives at 536 West Lapham Street, Milwaukee, WI 53204, and is self-employed for 2020. She estimates her required annual estimated income tax payment for 2020 to be $8,468. She was required to pay $254 when she timely filed her prior year tax return. Complete the first quarter voucher below for Sherina for 2020. Form1040-ESDepartment of the TreasuryInternal Revenue Service 2020 Estimated Tax Payment Voucher 1 OMB No. 1545-0074 File only if you are making a payment of estimated tax by check or money order. Mail this voucher with your check or money order payable to “United States Treasury.” Write your social security number and “2020 Form 1040-ES” on your check or money order. Do not send cash. Enclose, but do not staple or attach, your payment with this voucher. Calendar year—Due April 15, 2020 Amount of estimated tax you are paying by check or money order. Dollars Cents fill in the blank 1
You are the payroll manager for a resort. Your daughter (Ellen Boxwood) is the marketing director earning a salary of $40,800 per year, payable monthly. She is married and claims three withholding allowances. Her social security number is 555-55-5555. In addition to federal income tax, social security, and Medicare, Ellen pays 2.3% state income tax, 1 2 % for state disability insurance (both based on gross earnings), $35.63 for term life insurance, $135.28 to the credit union, and $30 to the United Way. Fill out the following payroll voucher for Ellen for the month of October. (Use Exhibit 9-1 and Exhibit 9-2 from your text. Social Security Tax is 6.2% of gross wages up to $128,400. Medicare Tax is 1.45% of all gross wages. ) Payroll Voucher Employee: Tax Filing Status: SSN: Withholding Allowances: Full-time Pay Period From to Primary Withholdings: Additional Withholdings: Federal income tax $ Term life $ Social Security…

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