Income Tax Fundamentals 2020
Income Tax Fundamentals 2020
38th Edition
ISBN: 9780357391129
Author: WHITTENBURG
Publisher: Cengage
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Chapter 6, Problem 16P
To determine

Introduction:Self-employed individuals pay self-employment taxes instead of FICA taxes. The entire tax is paid by a self-employed individual since these individuals have no employers.

The self-employment tax for 2019 using schedule SE.

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Stew Beauf is a self-employed surfboard-maker in 2019. His Schedule C net income is $148,000 for the year. He also has a part-time job and earns $8,880 in wages subject to FICA taxes. Calculate Stew's self-employment tax for 2019 using Schedule SE.
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