Mr. Seigfried, a resident citizen, received P100, 000 dividend income from Vodka, Inc., a domestic corporation. How much final tax must have been withheld
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Mr. Seigfried, a resident citizen, received P100, 000 dividend income from Vodka, Inc., a domestic corporation. How much final tax must have been withheld
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- Mr. Lion, who is in the 37 percent tax bracket, is the sole shareholder of Toto Inc. which manufactures greeting cards. Toto's average annual net profit (before deduction of Mr. Lion's salary) is $270,000. For each of the following cases, compute the income tax burden on this profit. Assume that all dividends are taxed to individuals at a 20% tax rate. (Ignore any payroll tax consequences) Required: a. Mr. Lion's salary is $100.000, and Toto pays no dividends. b. Mr. Lion's salary is $100,000, and Toto distributes its after-tax income as a dividend. c. Toto is an S corporation. Mr. Lion's salary is $190.000, and Toto makes no cosh distributions. Assume Toto's ordinary income qualifies for the 20 percent QBI deduction, sullject to no limitations. d. Toto is an S corporation. Mr. Lion draws no salary, and Toto makes no cash distributions. Asume Toto's ordinary income quelifies for the 20 percent QBI deduction, subject to no limitations. e. Toto is on S corporation. Mr. Lion draws no…Mr. and Mrs. Monarch own ‘Monarch Rental’, a disregarded entity (reported on their 1040). Monarch Rentals owns and rents two single-residence houses. The profit from this business was $10,000 for the current tax year. Mr. and Mrs. Monarch have approached you, their CPA, and stated that they have heard individuals can deduct 20% of their business income on their tax return. They want to know if individuals can deduct 20% of their business income on their tax return is true, and if so, what they need to do to take the deduction. You ask them if they are talking about the qualified business income deduction, and they reply they do not know. Which referances can you make to help clarify what they have heard? Hint:Rev. Proc. 2019-38a. Hunter Corporation has $250,000 in gross income, $125,000 in deductible business expenses, and a $12,000 business tax credit. Determine the corporation's net tax liability. b.Maria is a single individual with taxable income of $75,000 in 2018. What marginal tax rate should she use to determine the tax savings from a $2,000 deductible expense? c. Denise files her 2018 tax return on February 4, 2019. If there is no material understatement of income on her return and the return is properly signed and filed, when does the statute of limitations expire for Denise's 2018 tax return?
- Eva received $70,000 in compensation payments from JAZZ Corporation during 2021. Eva incurred $10,000 in business expenses relating to her work for JAZZ Corporation JAZZ did not reimburse Eva for any of these expenses. Eva is single and deducts a standard deduction of $12,550. Based on these facts, answer the following questions: Use Tax Rate Schedule for reference (Leave no answer blank. Enter zero if applicable. Round your intermediate and final answers to the nearest whole dollar amount.) Problem 8-68 Part d (Algo) d. Assume that Eva is considered to be a self-employed contractor. What is her regular tax liability for the year? Regular tax liability In 2021, Lisa and Fred, a married couple, had taxable income of $304,500. If they were to file separate tax returns, Lisa would have reported taxable income of $126,500 and Fred would have reported taxable income of $178,000. Use Tax Rate Schedule for reference. What is the couple's marriage penalty or benefit? (Do not round intermediate…Chuck, a single taxpayer, earns $75,400 in taxable income and $10,400 in interest from an investment in City of Heflin bonds. (Use the U.S. tax rate schedule.) Required: a. If Chuck earns an additional $40,000 of taxable income, what is his marginal tax rate on this income? b. What is his marginal rate if, instead, he had $40,000 of additional deductions? Note: For all requirements, do not round intermediate calculations. Round percentage answers to 2 decimal places. a. Marginal tax rate b. Marginal tax rate % %SaeRo Yi is an employee of Danbam Corp. with a taxable income of P220,000. At the same time, he has a business. From his business, he has a gross sales of P800,000, non-operating income of P200,000. He opted to use the 8%. Compute the Income tax due.
- Mr Nhlapho is a 45-year-old South African citizen who lives and works in Johannesburg. During the tax year he receives dividends from a company in the USA, of which he holds one-eighth of the shares and associated voting rights. He receives no other interest or dividends during the year. These dividends totalled R24,000. How much of this amount is subject to income tax? Select one: O a. R3,000 O b. R200 O c. None of it O d. R24,000Cassy reports a gross tax liability of $1,190. She also claims $590 of nonrefundable personal credits, $795 of refundable personal credits, and $390 of business credits. What is Cassy's tax refund or tax liability due after applying the credits?1
- Mr. Ramos, a non-resident citizen, sold shares of stocks of a domestic corporation directly to a buyer at a net gain of P320,000. Compute the capital gains tax.Michael earns $10,000, and his tax liability for the current year is $8,000, double what it was the previous year. to avoid penalties, how much do his combined payments (withholdings and ccredits) haave to be?Jose, who is in the 35 percent marginal tax bracket with a 15 percent tax rate on dividends, owns 100 percent of the stock of JJ, Incorporated. This year, JJ generates $545,000 taxable income and pays a $108,000 dividend to Jose. Compute his tax on the dividend under each of the following assumptions: Required: a. The federal tax rules currently in effect apply to the dividend payment. b. The federal tax system has been amended to allow shareholders to gross up dividend income by the corporate tax paid with respect to the dividend and credit this tax against their individual tax. Complete this question by entering your answers in the tabs below. Required A Required B Compute his tax on the dividend assuming the federal tax system has been amended to allow shareholders to g dividend income by the corporate tax paid with respect to the dividend and credit this tax against their individua Tax on the dividend