Questions from General Taxation

Q: Explain the two methods for income tax withholding on supplemental wage payments

Explain the two methods for income tax withholding on supplemental wage payments.

Q: Explain the provisions of backup withholding and the conditions under which an

Explain the provisions of backup withholding and the conditions under which an employer must comply with these provisions.

Q: What is a Form W-9? Why must this form

What is a Form W-9? Why must this form be filed?

Q: Explain the purpose of Form 1040-ES. Under what conditions

Explain the purpose of Form 1040-ES. Under what conditions are taxpayers required to file 1040-ES? When is Form 1040-ES filed?

Q: If a taxpayer works more than one job, will the withholding

If a taxpayer works more than one job, will the withholding from the various jobs necessarily cover his or her tax liability? Explain.

Q: Who pays FICA? What are the percentages and limits on the

Who pays FICA? What are the percentages and limits on the payments?

Q: Justin and Janet, whose AGI is $156,000,

Justin and Janet, whose AGI is $156,000, have twin boys, Jake and Jaime, age 5. How much child tax credit can they take? a. $0. b. $1,000. c. $2,000. d. $2,300.

Q: Julian is a single father with a son, Alex, who

Julian is a single father with a son, Alex, who is 8 years old. If Julian’s AGI is $87,000, what is his child tax credit for Alex? a. $0. b. $400. c. $600. d. $1,000.

Q: Jerry and Ellen are married filing jointly with AGI of $45

Jerry and Ellen are married filing jointly with AGI of $45,000. They made a $1,500 contribution to a qualified retirement plan. How much is their retirement savings contributions credit? a. $0. b...

Q: Marcia is a single filer and has AGI of $26,

Marcia is a single filer and has AGI of $26,000. During the year, she contributed $800 to a Roth IRA. What amount of retirement savings contributions credit can Marcia take? a. $0. b. $80. c. $160....