Exam 10: Payroll Taxes

When calculating self-employment taxes from a taxpayer who also receives wages from a salaried job,the earnings from self-employment are considered first in calculating the ceiling amount for social security and Medicare.

Nikki's salary is $209,950 in 2017.She is paid on a biweekly basis,is single and claims zero allowances. a.What is Nikki's federal tax withholding per pay period? b.What is Nikki's FICA withholding per pay period before she reaches the social security limit? (Round your answer to 2 decimal places. )

Harry has two jobs.He earns $127,700 from his first job and $10,000 from his second job.How much total FICA withholding will Harry have withheld from his wages from working two jobs?

Which of the following conditions requires an employer to use the electronic deposit requirement?

The more exemptions claimed,the more tax that is withheld and the smaller the net check.

Shanita is a self-employed event planner.She has net earnings (profit)from her business of $63,220.Her self-employment taxes for the year are: (Round your answer to 2 decimal places. )

If on any day during the month,an employer accumulates $100,000 or more in tax liability,the taxes must be deposited:

Teko earned $118,200 during 2017.Teko is paid on a monthly basis,is single,and claims three allowances. a.What is Teko's federal tax withholding for the month? b.What is Teko's FICA withholding for the month? c.How much will Teko's employer remit in payroll tax deposits for the month? d.How much FUTA tax is Teko's employer required to remit in her name for the year 2017? Assume that all state contributions have been paid as required. (Round your answer to 2 decimal places. )

Household workers are subject to FUTA tax only if cash wages of $2,000 or more are paid in any calendar quarter during the prior and/or current year.

The credit against "payroll taxes" for providing COBRA premium assistance to eligible individuals is recorded using Form 941-X.

Wages subject to withholding and other employment taxes include all pay given to employees for services performed.

For semiweekly schedule depositors,taxes withheld from payrolls paid during the week are due to be remitted within three banking days after the date wages are paid.

An employer with 250 or more employees uses which form to file W-2s electronically?

Employers must prepare and send to employees the multi-part W-3 no later than January 31 of the following year.

In the lookback period,if the employer reported total payroll taxes of more than $50,000,the employer is a semiweekly schedule depositor.

In a large food or beverage establishment,on what form or schedule is any tip shortfall from a directly tipped employee recorded?

Kim works part-time for Medical Assistants Inc. ,and earned $6,385 for 2017.What amount of FUTA tax must her employer remit to the IRS? Assume her employer receives the maximum credit for state unemployment taxes.

Supplemental wage payments include all the following except:

Claude works as a teacher during the year at the local high school.He also prepares taxes on a part-time basis.During 2017,Claude earned $84,800 from his job as a teacher.He also earned $12,000 preparing taxes from January to April 2017.He operates his tax preparation business as a sole proprietorship.Claude estimates that he will owe $2,036 more in income taxes for 2017.Explain what Claude should do so that he does not incur any underpayment penalties.

A taxpayer with an AGI of $157,350 for 2017 pays estimated taxes.The taxpayer can avoid an underpayment penalty by paying: