The Kimpton Corporation pays the following taxes during 2020: Federal taxes withheld from employees .......................$ 26,000 State
Question:
The Kimpton Corporation pays the following taxes during 2020:
Federal taxes withheld from employees .......................$ 26,000
State taxes withheld from employees ................................9,000
Social Security withheld from employees .........................4,850
Kimpton’s share of Social Security taxes ...........................4,850
Federal income tax paid in 2020 with 2019 tax return ....1,790
Federal income tax paid in 2020 .......................................12,340
Real estate taxes ...................................................................6,750
State income taxes paid in 2020 .........................................5,720
State income taxes paid in 2020 with 2019 return ..............690
State tax on capital acquisitions .........................................2,700
Sales tax on supplies ............................................................3,250
Also, the county treasurer notifies Kimpton that it is being assessed a special real estate tax of $64,000 for upgrading the sidewalks and sewer connections in the area. The special tax is payable in 4 yearly installments of $16,000. What amount can Kimpton deduct for taxes paid in 2020?
Step by Step Answer:
Concepts In Federal Taxation 2021
ISBN: 9780357141212
28th Edition
Authors: Kevin E. Murphy, Mark Higgins, Randy Skalberg