Questions from Individual Taxation

Q: Thomas is an employer with two employees, Patty and Selma.

Thomas is an employer with two employees, Patty and Selma. Patty’s wages are $12,450 and Selma’s wages are $1,310. The state unemployment tax rate is 5.4 percent. Calculate the following amounts for T...

Q: Telly, age 38, has a $140,000 IRA

Telly, age 38, has a $140,000 IRA with Blue Mutual Fund. He has read good things about the management of Green Mutual Fund, so he opens a Green Fund IRA. Telly asked for a distribution rollover and re...

Q: Ralph and Kathy Gump are married with one 20-year-

Ralph and Kathy Gump are married with one 20-year-old dependent child. Ralph earns a total of $98,000 and estimates their itemized deductions to be $29,500 for the year. Kathy is not employed. Use For...

Q: Sophie is a single taxpayer. For the first payroll period in

Sophie is a single taxpayer. For the first payroll period in July 2019, she is paid wages of $2,200 monthly. Sophie claims one allowance on her Form W-4. a. Use the percentage method to calculate the...

Q: Sherina Smith (Social Security number 785-23-9873)

Sherina Smith (Social Security number 785-23-9873) lives at 536 West Lapham Street, Milwaukee, WI 53204, and is self-employed for 2019. She estimates her required annual estimated tax payment for 2019...

Q: In 2019, Professor Patricia (Patty) Pâté retired from the

In 2019, Professor Patricia (Patty) Pâté retired from the Palm Springs Culinary Arts Academy (PSCAA). She is a single taxpayer and is 62 years old. Patty lives at 98 Colander...

Q: Kana is a single wage earner with no dependents and taxable income

Kana is a single wage earner with no dependents and taxable income of $205,000 in 2019. Her 2018 taxable income was $155,000 and tax liability were $31,490. Calculate the following: Kana’s 2019 income...

Q: Lamden Company paid its employee, Trudy, wages of $52

Lamden Company paid its employee, Trudy, wages of $52,000 in 2019. Calculate the FICA tax: Withheld from Trudy’s wages: Social Security? Medicare? Paid by Lamden: Social Security? Medicare?

Q: Fiduciary Investments paid its employee, Yolanda, wages of $139

Fiduciary Investments paid its employee, Yolanda, wages of $139,000 in 2019. Calculate the FICA tax: Withheld from Yolanda’s wages: Social Security? Medicare? Paid by Fiduciary: Social Security? Med...

Q: Thuy worked as the assistant manager at Burger Crown through August 2019

Thuy worked as the assistant manager at Burger Crown through August 2019 and received wages of $79,000. Thuy then worked at Up and Down Burger starting in September of 2019 and received wages of $61,5...