Kate is an accrual basis, calendar-year taxpayer. On November 1, 2021, Kate leased out a building for $4,500 a month. On that day Kate received 7 months rental income on the building, a total of $31,500 ($4,500 × 7 months). How much income must Kate include on her 2021 tax return as a result of this transaction? a.$4,500 b.$9,000 c.$54,000 d.$31,500 e.None of these choices are correct.

Q: Marcus a single taxpayer has taxable income of $60,000.  Using the US 2020 tax rate schedule.  How…

A: Taxable Income: Taxable income is the amount of a person's gross income that the government deems…

Q: Matthew (32) will use the single filing status. In addition to earned income of $192, 000 from his…

A: As an investor, you may owe an additional 3.8% tax called net investment income tax (NIIT). But…

Q: Taxpayer, who is unmarried and whose filing status is Head of Household, has two dependent children…

A: A child tax credit is the credit which is made by the tax authorities availability to the taxpayers…

Q: Mary is age 33 and a single taxpayer with adjusted gross income for 2020 of $29,400. Mary maintains…

A: Taxable income:-These is that income that is liable for tax payment after providing deductions as…

Q: Vernon is a cash basis taxpayer with a calendar tax year. On October 1, 2020, Vernon entered into a…

A: General rule vs 12 months for prepaid expense for Cash basis taxpayer The general rule is stating…

Q: 2. Taxes paid for a given income level Suppose that Hubert is preparing to file his taxes. He is…

A: Thе marginal tax ratе is thе ratе at which an additional dollar of incomе is taxеd. In othеr words,…

Q: Carey, a single taxpayer, purchased a rental house in 2021, which he actively manages. During 2021,…

A: Revenue recognition and reporting are critical and challenging challenges for accountants to…

Q: Ali Amanda, a resdent person for tax purposes, earned an employment income of 15,000 cedis, Business…

A: To calculate Ali Amanda's total assessable income for the year 2021, we need to consider her various…

Q: Based on this information, Jennifer's total federal tax credits for 2023 will be:

A: Federal tax credits are deductions applied to an individual's total tax liability, reducing the…

Q: Katrina has wages of $161,000 in 2023. She also operates a small business that generated net profits…

A: For the year 2023, the self- employment tax is 15.3 percent of self-employment income up to $160,200…

Q: Avery, an unmarried taxpayer, had the following income items: $ 43,600 3,500 Salary Net income from…

A: The objective of the question is to calculate Avery's child tax credit and dependent care credit for…

Q: Lucy is 17 years old and a dependent of her parents. She receives $9,000 of wages from a​ part-time…

A: Lucy is 17 years below 19 years of age and hence qualified for children tax rate  Wages =9000…

Q: Kamryn Brown is single and earns $50,000 in taxable income and will use the following tax rate…

A: The question is related to the taxation of single individual as per the tax slab given.

Q: Stacia, a single cash basis taxpayer, received $20 in interest from her savings account, $150 in…

A: We must analyze the forms of interest income Stacia got in order to calculate the amount of taxable…

Q: Adriana is a MFJ taxpayer, and in 2021, she reported $ 365,000 of taxable income, including a…

A: The basic income over which tax is charged is referred to as taxable income. It contains some or all…

Q: Alice is single and self-employed in 2020. Her net business profit on her Schedule C for the year is…

A: The taxpayer's net business profit from Schedule C is multiplied with 92.35% to calculate the income…

Q: Alex registered his sole proprietorship business on 1 January 2022 and has a 31 December year end.…

A: These are deductions available to the taxpayers from their taxable income. These tax deductions will…

Q: The following information applies to Emily for 2022. Her filing status is single. Salary Interest…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: putation, The Standard Deduction (LO 1.3, 1.5, 1.8) Diego, age 28, married Dolores, age 27, in 2021.…

A: Disclaimer: “Since you have posted a question with multiple sub-parts, we will solve the first three…

Q: Chris and Heather are engaged and plan to get married. During 2023, Chris is a full-time student and…

A: Taxable income refers to the income on which the tax payer is liable to pay the desired tax as…

Q: Melissa and Whitney are married taxpayers with taxable income of $106,000 and file a joint tax…

A: Tax Liability: Tax liability is the amount of money you owe to tax authorities, such as your local,…

Q: For each of the following situations, indicate whether the taxpayer(s) is (are) required to file a…

A: Monica received $ 500 as unreported tip and owes Social Security taxes on these tips. Total income…

Q: Clarissa's gross tax liabilin

A: Lets understand the basics.For determining net liability, lets understand the terms given in the…

Q: te is a 29-year-old single taxpayer with a modified adjusted gross income (MAGI) of $80,000. In…

A: The students take the loans for doing studies and there are deductions available on the loan…

Q: additional 0.9% Medicare tax

A: Additional medicare tax is levied on the amount over and above $2,00,000 at the rate of 0.9%. The…

Q: Geraldine is an accrual basis taxpayer who has the following transactions during the current…

A: Calculate Geraldine’s net income from her business for the current year as shown below:

Q: Dawn is a single taxpayer. Her income and expenses for the year is as follows: Income…

A:

Q: Eduardo purchased a vacation house on May 1, 2020. During 2021, he spent 20 days there, and rented…

A: Under the Tax Court method, a person can deduct the mortgage interest and real estate tax equivalent…

Q: For 2018 taxes (only answer if you know current tax law and exclusions for filing in 2019) Mel, a…

A: An ex-spouse's child support payments are neither tax deductible for the payer nor taxable to the…

Q: Brenda pays the following property taxes in 2021.  $7,000 on her primary residense, $7,500 on her…

A: Answer:- the $10,000maximum amount is taxes that she may claim as an itemized dedution on Schedule…

Q: Calculate the 2020 tax liability and the tax or refund due for each situation. Round your answers to…

A: Taxable Income Adjusted gross income                    $64,800          Less: Greater of itemized…

Q: John is a resident citizen. He owns a 6-year time deposit in a local bank which earns a 7% annual…

A: Interest is return which a depositor gets from the bank for having their account balance at the…

Q: . Taxpayer, age 16, is claimed as a dependent by his mother. In 2019, he has dividend income of…

A: Taxable income is computed after deducting all the standard or itemized deductions for which the…

Q: soul is single

A: The list of expenses that can be itemized is extensive, available on the IRS website, and can…

Q: Lacy is a single taxpayer. In 2021, her taxable income is $42,800. What is her tax liability in each…

A: a) 10% x $9950 + 12% x ( $40525 - $9950) + 22% x ($42800 - $40525) =$995 + $3669 + $500.5 =$5164.5…

Q: Sara is filing as head of household and has a 2023 taxable income of $66, 000, which includes $3,000…

A: An alternative minimum tax (AMT) places a floor on the percentage of taxes that a filer must pay to…

Q: Antoine Jones is single with two dependent children. During 2021, he has gross income of $99,800,…

A: Tax rate on single for 2021:Taxable Income           Tax liability$0-9,875                      10%…

Q: For the year 2023, Carolyn earned $80,000 and incurred the following expenses Moving expenses $ 500…

A: When you file your taxes each year, you can choose between taking the standard deduction or…

Q: Based on the 2021 tax brackets, If Brian and his wife have a taxable income of $70,000 and they…

A: We have, Taxable Income = $70,000 Filing status = Married filing jointly Child credit = $7,200(for 2…

Q: Alice is single and self-employed in 2022. Her net business profit on her Schedule C for the year is…

A: Self-employment tax is defined as the amount a proprietor is obliged to pay to the revenue…

Q: Ms. White has net tax owing for 2017 of $4,500, net tax owing for 2018 of $8,000, and estimated net…

A: Taxes are the amount of dues and obligations which needs to be settled or paid by the business on…

Q: Emily, who is single, sustains an NOL of $10,080 in 2021. The loss is carried forward to 2022. For…

A: Lets understand the basics.The term taxable income refers to any gross income earned that is used to…

Q: Linda is a qualifying widow in 2021. In 2021, she reports $80,000 of taxable income (all ordinary).…

A: The amount of tax that a person or organization owes to the government in relation to their taxable…

Q: Lily Tucker (single) owns and operates a bike shop as a sole proprietorship. In 2020, she sells the…

A: Answer:- Capital gain refers to the profit earned from the sale or exchange of a capital asset, such…

Q: 45. According to Josh's W-2 statement, his wages were $27,391 for the previous year. He also earned…

A: Taxable income= Gross income- Adjustments- standard deduction Gross income= Wages+ interest income =…

Q: 1. Peter is 66 years old and single. He has the following Income and expenses: What is his taxable…

A: Income tax:  It is the amount a person is liable to pay on the earned amount in an accounting year.…

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.