For the person below, calculate the FICA tax and income tax toobtain the total tax owed. Then find the overall tax rate on thegross income, including both FICA and income tax. Assume that theindividual is single and takes the standard deduction.A man earned $30,000 from wages.Tax Rate10%Singleup to $932515%up to $37,95025%up to $91,90028%up to $191,65033%up to $416,70035%up to $418,40039.6%above $418,400Standard deductionExemption(per person)$6350$4050Let FICA tax rates be 7.65% on the first $127,200 of income from wages, and 1.45% on any income from wages in excess of $127,200.His FICA tax is $(Round up to the nearest dollar.)

To calculate the FICA tax:For the first $127,200 of income, the rate is 7.65%.For any income above…

Answered: For the person below, calculate the…

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter3: Preparing Your Taxes

Section: Chapter Questions

Problem 7FPE

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For the person below, calculate the FICA tax and income tax to obtain the total tax owed. Then find the overall tax rate on the gross income, including both FICA and income tax. Assume that the individual is single and takes the standard deduction. A womanearned a salary of $27,000 and received $1000 in interest. Tax Rate Single 10% up to $9325 15% up to $37,950 25% up to $91,900 28% up to $191,650 33% up to $416,700 35% up to $418,400 39.6% above $418,400 Standard deduction $6350 Exemption (per person) $4050 Let FICA tax rates be 7.65%on the first $127,200 of income from wages, and 1.45% on any income from wages in excess of $127,200. Her income tax is $_____.
For the person below, calculate the FICA tax and income tax to obtain the total tax owed. Then find the overall tax rate on the gross income, including both FICA and income tax. Assume that the individual is single and takes the standard deduction. A man earned a salary of $27,000 and received $1250 in interest. Tax Rate Single 10% up to $9325 15% up to $37,950 25% up to $91,900 28% up to $191,650 33% up to $416,700 35% up to $418,400 39.6% above $418,400 Standard deduction $6350 Exemption (per person) $4050 Let FICA tax rates be 7.65%on the first $127,200 of income from wages, and 1.45% on any income from wages in excess of $127,200. His total FICA tax is $____.
FICA Taxes. For each of the following individuals, calculate the FICA taxes and income taxes to obtain the total tax owed. Then find the overall tax rate on the gross income, including both FICA income taxes. Assume that all the individuals are single and take the standard deduction. Use the tax rates on Table 4.9. Jack earned a salary of $44,800 and received $1,250 in interest The solution this problem FICA Tax = $3,427; Income tax = $4881; total tax = $8308; tax rate = 18.0%
Assume your gross pay per pay period is $1,700 and you are in the 25 percent tax bracket. Calculate your net pay and spendable income if you save $170 per pay period after paying income tax on $1,700. (Do not round intermediate calculations.) Net Pay & Spendable Income Net pay Spendable income
Suppose that the income tax in a certain nationis computed as a flat rate of 5 percent, but notax is levied above $50,000 in taxable income.Taxable income, in turn, is computed as theindividual's income minus $10,000; that is,everyone gets a $10,000 deduction. What arethe marginal and average tax rates for each ofthe following three workers? (Evaluate the mar-ginal tax rate at each person's current incomelevel.)a.A part-time worker with annual income of$9,000.b.A retail salesperson with annual income of$45,000.C.An advertising executive with annual incomeof $600,000.Is the tax progressive, proportional, or regres-sive with respect to income?
Given the following tax structure, Taxpayer Salary Total tax $21,500 $1,032 $46,000 ??? Mae Pedro a. What is the minimum tax that Pedro should pay to make the tax structure vertically equitable based on the tax rate paid? (Round your final answer to nearest whole dollar amount.) Minimum tax b. This would result in what type of tax rate structure? Tax rate structure
Given the following tax structure: Total tax Salary $ 10,000 $ 20,000 Тахрayer Mae $ 600 Pedro ??? a. What is the minimum tax that Pedro should pay to make the tax structure vertically equitable based on the tax rate paid? (Round your final answer to nearest whole dollar amount.) Minimum tax b. This would result in what type of tax rate structure? Tax rate structure Progressive
A man earned $23,000 from wages. Let FICA tax rates be 7.65% on the first $127,200 of income from wages, and 1.45% on any income from wages in excess of $127,200. His FICA tax is $__
Use the following information and the flow chart from the module to calculate: Adjusted gross income ( AGI) Taxable income Show your work for each calculation to receive full credit. An individual has the following information for the current tax year. Assume they do not itemize and they file as head of household. Income from wages, $80,000 Interest earned on savings, $150 IRA contribution, $5,000 Checking account interest earned, $75 Standard deduction for Head of Household: $20,800 Child and Dependent Care Tax credit, $3,000 Filing status: Head of Household
Calculate the total tax (FICA and income taxes) owed by each individual in the following pair. Compare their overall tax rates. Assume that each individual is singleand takes the standard deduction. Use the tax rates in the table to the right and the special rates for the dividends and capital gains. Pierre earned $140,000 in wages. Katarina earned $140,000, all from dividends and long-term capital gains. Tax Rate Single 10% up to $9325 15% up to $37,950 25% up to $91,900 28% up to $191,650 33% up to $416,700 35% up to $418,400 39.6% above $418,400 Standard deduction $6350 Exemption (per person) $4050 For 2017, the FICA tax rates were 7.65% on the first $127,200 of income from wages and 1.45% on any income from wages in excess of $127,200. The tax rates for long-term capital gains and dividends were 0% for income in the 10% and 15% tax…
Calculate the total tax (FICA and income taxes) owed by each individual in the following pair. Compare their overall tax rates. Assume that each individual is singleand takes the standard deduction. Use the tax rates in the table to the right and the special rates for the dividends and capital gains. Pierre earned $128,000 in wages. Katarina earned $128,000, all from dividends and long-term capital gains. Tax Rate Single 10% up to $9325 15% up to $37,950 25% up to $91,900 28% up to $191,650 33% up to $416,700 35% up to $418,400 39.6% above $418,400 Standard deduction $6350 Exemption (per person) $4050 For 2017, the FICA tax rates were 7.65% on the first $127,200 of income from wages and 1.45% on any income from wages in excess of $127,200. The tax rates for long-term capital gains and dividends were 0% for income in the 10% and 15% tax…
If you have a taxable income of $369,770.00, what is your top marginal tax rate? total tax bill? S average tax rate? de % %

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