Use the 2016 FICA tax rates, shown below, to answer the following question. If a taxpayer is not self-employed and earns$137,000, what are the taxpayer's FICA taxes? Employee's Rates Matching Rates Paid by the Employer Self-Employed Rates7.65% on first $118,500 of income 1.45% of income in excess of $118,500 7.65% on first $118,500 paid in wages 1.45% of wages paid in excess of $118,500 15.3% on first $118,500 of net profits 2.9% of net profits in excess of $118,500FICA taxes are ?$

Income tax is a direct tax and it is obliged to be paid to the government. Income tax payable is…

Answered: what are the taxpayer's FICA taxes?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Use the 2016 FICA tax rates, shown below, to answer the following question. If a taxpayer is not self-employed and earns

$137,000, what are the taxpayer's FICA taxes?

Employee's Rates		Matching Rates Paid by the Employer		Self-Employed Rates
7.65% on first $118,500 of income 1.45% of income in excess of $118,500		7.65% on first $118,500 paid in wages 1.45% of wages paid in excess of $118,500		15.3% on first $118,500 of net profits 2.9% of net profits in excess of $118,500

FICA taxes are ?$

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