Problem 8-64 (LO 8-3) (Algo) Brooke, a single taxpayer, works for Company A for all of 2022, earning a salary of $53,000. Note: Round your intermediate and final answers to the nearest whole dollar amount. Required: a. What is her FICA tax obligation for the year? b. Assume Brooke works for Company A for half of 2022, earning $53,000 in salary, and she works for Company B for the second hal of 2022, earning $103,000 in salary. What is Brooke's FICA tax obligation for the year?

Problem 8-64 (LO 8-3) (Algo) Brooke, a single taxpayer, works for Company A for all of 2022, earning a salary of $53,000. Note: Round your intermediate and final answers to the nearest whole dollar amount. Required: a. What is her FICA tax obligation for the year? b. Assume Brooke works for Company A for half of 2022, earning $53,000 in salary, and she works for Company B for the second hal of 2022, earning $103,000 in salary. What is Brooke's FICA tax obligation for the year?

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter5: Deductions For And From Agi

Section: Chapter Questions

Problem 25MCQ

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Freda is a cash basis taxpayer. In 2019, she negotiated her salary for 2020. Her employer offered to pay her 21,000 per month in 2020 for a total of 252,000. Freda countered that she would accept 10,000 each month for the 12 months in 2020 and the remaining 132,000 in January 2021. The employer accepted Fredas terms for 2020 and 2021. a. Did Freda actually or constructively receive 252,000 in 2020? b. What could explain Fredas willingness to spread her salary over a longer period of time? c. In December 2020, after Freda had earned the right to collect the 132,000 in 2020, the employer offered 133,000 to Freda at that time, rather than 132,000 in January 2021. The employer wanted to make the early payment so as to deduct the expense in 2020. Freda rejected the employers offer. Was Freda in constructive receipt of the income in 2020? Explain.
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