Exam 9: Withholding Estimated Payments and Payroll Taxes

What percentage of gross food and beverage sales is used in determining the amount of tips that an employer must report as allocated to employees?

(Multiple Choice)

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Question 61

Choose the correct answer. Self-employment taxes:

(Multiple Choice)

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Question 62

For 2016, Randy, an unmarried taxpayer, has wages of $45,000. He has a significant amount of income from dividends and interest and therefore expects to have a federal income tax liability of $18,000. His total federal income tax withholding for the year is $9,500. Randy had $100,000 of adjusted gross income and a federal tax liability of $11,000 on his 2015 return. To avoid a penalty for underpayment of estimated taxes, what is the minimum amount of total estimated tax that Randy must pay in 2016? Assume the payments are made on a timely basis.

(Essay)

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Question 63

George has four employees who earned $75,000, $27,000, $2,100, and $6,200 during 2016, respectively. He paid 5.4 percent for state unemployment tax. How much FUTA tax will George owe for the four employees?

(Multiple Choice)

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Question 64

Form 1099-DIV is an information return used to show the payment of:

(Multiple Choice)

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Question 65

Gambling winnings must be reported to the IRS, but withholding of taxes on winnings is never required.

(True/False)

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Question 66

Oliver has two employees who earned the following amounts during 2016: If Oliver timely pays 5.4 percent for state unemployment tax, what is the amount of his 2016 FUTA after the state tax credit?

(Multiple Choice)

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Question 67

The Pear Corporation pays its employees every 2 weeks. During the look-back period, in each pay period the total withholding and FICA tax (employees' and employer's share) amounted to $750. How often must the Pear Corporation deposit payroll taxes?

(Multiple Choice)

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Question 68

Dividends paid to a shareholder by a corporation should be reported on which of the following forms?

(Multiple Choice)

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Question 69

What is the purpose of backup withholding?

(Essay)

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Question 70

Lucinda is a self-employed veterinarian in 2016. Her Schedule C net earnings are $86,000 for the year. Calculate the total amount of Lucinda's self-employment tax liability for 2016.

(Short Answer)

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Question 71

Which of the following forms should be used by a company to report a payment of $1,500 to a computer consultant who is not an employee of the company?

(Multiple Choice)

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Question 72

If an individual taxpayer discovers that his or her original estimate for estimated tax payments was inaccurate, the taxpayer should continue to make payments based on the original estimate and pay any additional amount or request any refund when the tax return is filed.

(True/False)

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Question 73

Which of the following amounts paid by an employer to an employee is not subject to withholding?

(Multiple Choice)

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Question 74

Peter and Joan are married and Joan has self-employment income of $240,000. Peter is retired. How much additional 0.9% Medicare surtax will Peter and Joan owe with their 2016 income tax return?

(Multiple Choice)

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(74)

Question 75

A nondeductible penalty is imposed on underpayments of estimated taxes.

(True/False)

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Question 76

The FUTA tax is paid by:

(Multiple Choice)

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Question 77

For each of the following payments, indicate the form (Form W-2, W-4, W-2G, 1099-B, 1099-DIV, 1099-INT, 1099-MISC, or 1099-R) that should be used to report the payment. a.Dividends from a mutual fund b.Las Vegas gambling winnings c.Interest paid by a bank d.Payment of salary and commissions to an employee e.Distribution from an IRA account

(Essay)

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Question 78

Mark the incorrect answer. Estimated income tax payments:

(Multiple Choice)

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Question 79

The FUTA tax is a voluntary unemployment tax which an employer may or may not wish to contribute towards.

(True/False)

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Question 80

Showing 61 - 80 of 82

What percentage of gross food and beverage sales is used in determining the amount of tips that an employer must report as allocated to employees?

Choose the correct answer. Self-employment taxes:

George has four employees who earned $75,000, $27,000, $2,100, and $6,200 during 2016, respectively. He paid 5.4 percent for state unemployment tax. How much FUTA tax will George owe for the four employees?

Form 1099-DIV is an information return used to show the payment of:

Gambling winnings must be reported to the IRS, but withholding of taxes on winnings is never required.

Oliver has two employees who earned the following amounts during 2016: If Oliver timely pays 5.4 percent for state unemployment tax, what is the amount of his 2016 FUTA after the state tax credit?

The Pear Corporation pays its employees every 2 weeks. During the look-back period, in each pay period the total withholding and FICA tax (employees' and employer's share) amounted to $750. How often must the Pear Corporation deposit payroll taxes?

Dividends paid to a shareholder by a corporation should be reported on which of the following forms?

What is the purpose of backup withholding?

Lucinda is a self-employed veterinarian in 2016. Her Schedule C net earnings are $86,000 for the year. Calculate the total amount of Lucinda's self-employment tax liability for 2016.

Which of the following forms should be used by a company to report a payment of $1,500 to a computer consultant who is not an employee of the company?

If an individual taxpayer discovers that his or her original estimate for estimated tax payments was inaccurate, the taxpayer should continue to make payments based on the original estimate and pay any additional amount or request any refund when the tax return is filed.

Which of the following amounts paid by an employer to an employee is not subject to withholding?

Peter and Joan are married and Joan has self-employment income of $240,000. Peter is retired. How much additional 0.9% Medicare surtax will Peter and Joan owe with their 2016 income tax return?

A nondeductible penalty is imposed on underpayments of estimated taxes.

The FUTA tax is paid by:

Mark the incorrect answer. Estimated income tax payments:

The FUTA tax is a voluntary unemployment tax which an employer may or may not wish to contribute towards.

The Individual Income Tax Return

Gross Income and Exclusions

Business Income and Expenses Part I

Business Income and Expenses Part II

Itemized Deductions and Other Incentives

Credits and Special Taxes

Accounting Periods and Methods and Depreciation

Capital Gains and Losses

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters

Exam 9: Withholding Estimated Payments and Payroll Taxes

What percentage of gross food and beverage sales is used in determining the amount of tips that an employer must report as allocated to employees?

Choose the correct answer. Self-employment taxes:

George has four employees who earned $75,000, $27,000, $2,100, and $6,200 during 2016, respectively. He paid 5.4 percent for state unemployment tax. How much FUTA tax will George owe for the four employees?

Form 1099-DIV is an information return used to show the payment of:

Gambling winnings must be reported to the IRS, but withholding of taxes on winnings is never required.

Oliver has two employees who earned the following amounts during 2016: If Oliver timely pays 5.4 percent for state unemployment tax, what is the amount of his 2016 FUTA after the state tax credit?

The Pear Corporation pays its employees every 2 weeks. During the look-back period, in each pay period the total withholding and FICA tax (employees' and employer's share) amounted to $750. How often must the Pear Corporation deposit payroll taxes?

Dividends paid to a shareholder by a corporation should be reported on which of the following forms?

What is the purpose of backup withholding?

Lucinda is a self-employed veterinarian in 2016. Her Schedule C net earnings are $86,000 for the year. Calculate the total amount of Lucinda's self-employment tax liability for 2016.

Which of the following forms should be used by a company to report a payment of $1,500 to a computer consultant who is not an employee of the company?

If an individual taxpayer discovers that his or her original estimate for estimated tax payments was inaccurate, the taxpayer should continue to make payments based on the original estimate and pay any additional amount or request any refund when the tax return is filed.

Which of the following amounts paid by an employer to an employee is not subject to withholding?

Peter and Joan are married and Joan has self-employment income of $240,000. Peter is retired. How much additional 0.9% Medicare surtax will Peter and Joan owe with their 2016 income tax return? ​

A nondeductible penalty is imposed on underpayments of estimated taxes.

The FUTA tax is paid by:

Mark the incorrect answer. Estimated income tax payments:

The FUTA tax is a voluntary unemployment tax which an employer may or may not wish to contribute towards.

The Individual Income Tax Return

Gross Income and Exclusions

Business Income and Expenses Part I

Business Income and Expenses Part II

Itemized Deductions and Other Incentives

Credits and Special Taxes

Accounting Periods and Methods and Depreciation

Capital Gains and Losses

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters

Peter and Joan are married and Joan has self-employment income of $240,000. Peter is retired. How much additional 0.9% Medicare surtax will Peter and Joan owe with their 2016 income tax return?