Appendix A Continuing Payroll Project: Wayland Custom Woodworking (1 Month, Part 2) (Static)

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Wayland Custom Woodworking is a firm that manufactures custom cabinets and woodwork for business and residential customers. Students will have the opportunity to establish payroll records and to complete a month of payroll information for Wayland. Wayland Custom Woodworking is located at 1716 Nichol Street, Logan, Utah, 84321, phone number 435-555-9877. The owner is Mark Wayland. Waylands EIN is 91-7444533, and the Utah Employer Account Number is 99992901685WTH. Wayland has determined it will pay its employees on a semimonthly basis. Federal income tax should be computed using the percentage method.

For Part 2 of this project, you will complete payroll for the last month (December) of the fourth quarter (Q4) of 2019, which consists of the final pay periods of the year. Then file the annual tax forms for Wayland as well as prepare each employee's Form W-2 in Part 2 on or before the due date 01/15/2020.

The SUTA (UI) rate for Wayland Custom Woodworking is 2.6 percent on the first $35,300. The state withholding rate is 4.95 percent for all income levels, deductions, and marital statuses, a table has been included to assist with calculations of state tax due for employees.

For Part 2 of this project, you will use the fourth quarter payroll information that you calculated in Part 1 to complete the following tax forms for Wayland Custom Woodworking:

• U.S. Form 941
• U.S. Form 940
• Utah Form TC-941
• Utah Form 33H
• Form W-2s for all 6 employees
• Form W-3 for WCW

Elective deferrals including deferrals under a simple retirement account that is part of a section 401(k) arrangement should be reported in Box 12, using code D. Employer amounts for health coverage should be reported as 1.5 times the employee's premium in Box 12, using Code DD.

Specific instructions on how to complete each form can be found within the individual forms themselves. The employee information for Wayland has been presented again below, for convenience.

Total deposits made for the quarter is $10,875.10.

Required:

1. Complete Form 941 for the remittance of quarterly federal taxes.

Employee Number Name and Address 00-Chins Anthony Chinson 530 Sylvann Avenue Logan, UT 84321 435-555-1212 Job title: Account Executive Payroll information Married, 1 Withholding allowance Exempt $24,000/year + commission Start Date: 10/1/2019 SSN: 511-22-3333 00-Wayla Mark Wayland 1570 Lovett Street Logan, UT 84321 435-555-1110 Job title: President/Owner Married, 5 withholding allowances Exempt $75,000/year Start Date: 10/1/2019 SSN: 505-33-1775 01-Peppi Sylvia Peppinico 291 Antioch Road Logan, UT 84321 435-555-2244 Job title: Craftsman Married, 7 withholding allowances Exempt $43,500/year Start Date: 10/1/2019 SSN: 047-55-9951 01 - Varde Stevon Varden 333 Justin Drive Logan, UT 84321 435-555-9981 Job title: Craftsman Married, 2 withholding allowances Nonexempt $42,000/year Start Date: 10/1/2019 SSN: 022-66-1131 02-Hisso Single, 4 withholding allowances Nonexempt $49,500/year Start Date: 10/1/2019 SSN: 311-22-6698 Leonard Hissop 531 5th Street Logan, UT 84321 435-555-5858 Job title: Purchasing/Shipping Student Success 1650 South Street Logan, UT 84321 435-556-1211 Job title: Accounting Clerk 00-Succe Single, 1 withholding allowance Nonexempt $36,000/year Start Date: 10/1/2019 SSN: 555-55-5555 Monthly tax liability: October November December $5,550.41 5,324.69 2,557.16 FUTA tax deposited for the year, including any overpayment applied from a prior year is $248.11. Complete Page 1 of Form 941. (Round your intermediate computations and final answers to 2 decimal places. Input all values as positive numbers.) Form 941 for 2019: Employer's QUARTERLY Federal Tax Return Department of the Treasury - Internal Revenue Service 950114 OMB No. 1545-0029 Report for this Quarter 2019 (Check one.) January, February, March April, May, June Employer identification number (EIN) Name (not your trade name) Trade name (if any) Address Number 1: 2: 3: July, August, September Street Suite or room number 04 October, November, December City State (NN) ZIP code Go to www.irs.gov/Form941 for Foreign country name Foreign Province/county Foreign Postal code instructions and the latest information Read the separate instructions before you complete this form. Please type or print within the boxes. Part 1: Answer these questions for this quarter. 1 Number of employees who received wages, tips, or other compensation for the pay period including: Mar. 12 (Quarter 1), June 12 (Quarter 2), Sept. 12 (Quarter 3), or Dec. 12 (Quarter 4) 2 Wages, tips, and other compensation 3 Federal income tax withheld from wages, tips, and other compensation 4 If no wages, tips, and other compensation are subject to social security or Medicare tax Check and go to line 6. 1 3 Column 1 Column 2 x 0.124 5a Taxable social security wages 5b Taxable social security tips 5c Taxable Medicare wages & tips x 0.124 X 0.029 5e 5f 5d Taxable wages & tips subject to Additional Medicare Tax withholding x 0.009 5e Add Column 2 from lines 5a, 5b, 5c, and 5d 5f Section 3121(9) Notice and Demand - Tax due on unreported tips (see instructions) 6 Total taxes before adjustments. Add lines 3, 5e, and 5f 7 Current quarter's adjustments for fractions of cents 8 Current quarter's adjustments for sick pay 9 Current quarter's adjustments for tips and group-term life insurance 10 Total taxes after adjustments. Combine lines 6 through 9 11 Qualified small business payroll tax credit for increasing research activities. Attache Form 8974 12 Total taxes after adjustments and credits. Subtract line 11 from line 10 13 Total deposits for this quarter, including overpayment applied from a prior quarter and overpayments applied from Form 941-X, 941-X (PR), 944- X, 944-X (PR), or 944-X (SP) filed in the current quarter 14 Balance due. If line 12 is more than line 13, enter the difference and see instructions 6 7 8 9 10 11 12 13 14 15 Overpayment If line 13 is more than line 12, enter the difference Check one: Apply to next return Send a refund. You MUST complete both pages of Form 941 and SIGN it. Next Car Drivs. Ant and Nannu naduation at Alatina Ras the bank of the Nat Warner at 170047 Car AA In. 2010 Part 2: Tell us about your deposit schedule and tax liability for this quarter. If you are unsure about whether you are a monthly schedule depositor or a semiweekly schedule depositor, see section 11 of Pub. 15. 16 Check one: Line 12 on this return is less than $2,500 or line 12 on the return for the prior quarter was less than $2,500, and you didn't incur a $100,000 next-day deposit obligation during the current quarter. If line 12 for the prior quarter was less than $2,500 but line 12 on this retum is $100,000 or more, you must provide a record of your federal tax liability. If you are a monthly schedule depositor, complete the deposit schedule below; if you are a semiweekly schedule depositor, attach Schedule B (Form 941). Go to Part 3. You were a monthly schedule depositor for the entire quarter. Enter your tax liability for each month and total liability for the quarter, then go to Part 3 Tax liability: Month 1 Month 2 Month 3 Total liability for quarter Total must equal line 12. You were a semiweekly schedule depositor for any part of this quarter. Complete Schedule B (Form 941), Report of Tax Liability for Semiweekly Schedule Depositors, and attach it to Form 941. Part 3: Tell us about your business. If a question does NOT apply to your business, leave it blank. 17 If your business has closed or you stopped paying wages Check here and enter the final date you paid wages (mm/dd/yyyy) 18 If you are a seasonal employer and you don't have to file a return for every quarter of the year Check here Part 4: May we speak with your third-party designee? Do you want to allow an employee, a paid tax preparer, or another person to discuss this return with the IRS? See the instructions for details. Yes. Designee's name and phone number Select a 5-digit Personal Identification Number (PIN) to use when talking to IRS. No. Part 5: Sign here. You MUST complete both pages of Form 941 and SIGN it. Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge Sign your name here Date (mm/dd/yyyy) Print your name here Print your title here Best daytime phone (XXX-XXX-XXXX) Paid Preparer Use Only Check if you are self-employed PTIN Preparer's name Preparer's signature Date (mm/dd/yyyy) Employee Number Name and Address 00-Chins Anthony Chinson 530 Sylvann Avenue Logan, UT 84321 435-555-1212 Job title: Account Executive Payroll information Married, 1 Withholding allowance Exempt $24,000/year + commission Start Date: 10/1/2019 SSN: 511-22-3333 00-Wayla Mark Wayland 1570 Lovett Street Logan, UT 84321 435-555-1110 Job title: President/Owner Married, 5 withholding allowances Exempt $75,000/year Start Date: 10/1/2019 SSN: 505-33-1775 01-Peppi Sylvia Peppinico 291 Antioch Road Logan, UT 84321 435-555-2244 Job title: Craftsman Married, 7 withholding allowances Exempt $43,500/year Start Date: 10/1/2019 SSN: 047-55-9951 01 - Varde Stevon Varden 333 Justin Drive Logan, UT 84321 435-555-9981 Job title: Craftsman Married, 2 withholding allowances Nonexempt $42,000/year Start Date: 10/1/2019 SSN: 022-66-1131 02-Hisso Single, 4 withholding allowances Nonexempt $49,500/year Start Date: 10/1/2019 SSN: 311-22-6698 Leonard Hissop 531 5th Street Logan, UT 84321 435-555-5858 Job title: Purchasing/Shipping Student Success 1650 South Street Logan, UT 84321 435-556-1211 Job title: Accounting Clerk 00-Succe Single, 1 withholding allowance Nonexempt $36,000/year Start Date: 10/1/2019 SSN: 555-55-5555 Monthly tax liability: October November December $5,550.41 5,324.69 2,557.16 FUTA tax deposited for the year, including any overpayment applied from a prior year is $248.11. Complete Page 1 of Form 941. (Round your intermediate computations and final answers to 2 decimal places. Input all values as positive numbers.) Form 941 for 2019: Employer's QUARTERLY Federal Tax Return Department of the Treasury - Internal Revenue Service 950114 OMB No. 1545-0029 Report for this Quarter 2019 (Check one.) January, February, March April, May, June Employer identification number (EIN) Name (not your trade name) Trade name (if any) Address Number 1: 2: 3: July, August, September Street Suite or room number 04 October, November, December City State (NN) ZIP code Go to www.irs.gov/Form941 for Foreign country name Foreign Province/county Foreign Postal code instructions and the latest information Read the separate instructions before you complete this form. Please type or print within the boxes. Part 1: Answer these questions for this quarter. 1 Number of employees who received wages, tips, or other compensation for the pay period including: Mar. 12 (Quarter 1), June 12 (Quarter 2), Sept. 12 (Quarter 3), or Dec. 12 (Quarter 4) 2 Wages, tips, and other compensation 3 Federal income tax withheld from wages, tips, and other compensation 4 If no wages, tips, and other compensation are subject to social security or Medicare tax Check and go to line 6. 1 3 Column 1 Column 2 x 0.124 5a Taxable social security wages 5b Taxable social security tips 5c Taxable Medicare wages & tips x 0.124 X 0.029 5e 5f 5d Taxable wages & tips subject to Additional Medicare Tax withholding x 0.009 5e Add Column 2 from lines 5a, 5b, 5c, and 5d 5f Section 3121(9) Notice and Demand - Tax due on unreported tips (see instructions) 6 Total taxes before adjustments. Add lines 3, 5e, and 5f 7 Current quarter's adjustments for fractions of cents 8 Current quarter's adjustments for sick pay 9 Current quarter's adjustments for tips and group-term life insurance 10 Total taxes after adjustments. Combine lines 6 through 9 11 Qualified small business payroll tax credit for increasing research activities. Attache Form 8974 12 Total taxes after adjustments and credits. Subtract line 11 from line 10 13 Total deposits for this quarter, including overpayment applied from a prior quarter and overpayments applied from Form 941-X, 941-X (PR), 944- X, 944-X (PR), or 944-X (SP) filed in the current quarter 14 Balance due. If line 12 is more than line 13, enter the difference and see instructions 6 7 8 9 10 11 12 13 14 15 Overpayment If line 13 is more than line 12, enter the difference Check one: Apply to next return Send a refund. You MUST complete both pages of Form 941 and SIGN it. Next Car Drivs. Ant and Nannu naduation at Alatina Ras the bank of the Nat Warner at 170047 Car AA In. 2010 Part 2: Tell us about your deposit schedule and tax liability for this quarter. If you are unsure about whether you are a monthly schedule depositor or a semiweekly schedule depositor, see section 11 of Pub. 15. 16 Check one: Line 12 on this return is less than $2,500 or line 12 on the return for the prior quarter was less than $2,500, and you didn't incur a $100,000 next-day deposit obligation during the current quarter. If line 12 for the prior quarter was less than $2,500 but line 12 on this retum is $100,000 or more, you must provide a record of your federal tax liability. If you are a monthly schedule depositor, complete the deposit schedule below; if you are a semiweekly schedule depositor, attach Schedule B (Form 941). Go to Part 3. You were a monthly schedule depositor for the entire quarter. Enter your tax liability for each month and total liability for the quarter, then go to Part 3 Tax liability: Month 1 Month 2 Month 3 Total liability for quarter Total must equal line 12. You were a semiweekly schedule depositor for any part of this quarter. Complete Schedule B (Form 941), Report of Tax Liability for Semiweekly Schedule Depositors, and attach it to Form 941. Part 3: Tell us about your business. If a question does NOT apply to your business, leave it blank. 17 If your business has closed or you stopped paying wages Check here and enter the final date you paid wages (mm/dd/yyyy) 18 If you are a seasonal employer and you don't have to file a return for every quarter of the year Check here Part 4: May we speak with your third-party designee? Do you want to allow an employee, a paid tax preparer, or another person to discuss this return with the IRS? See the instructions for details. Yes. Designee's name and phone number Select a 5-digit Personal Identification Number (PIN) to use when talking to IRS. No. Part 5: Sign here. You MUST complete both pages of Form 941 and SIGN it. Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge Sign your name here Date (mm/dd/yyyy) Print your name here Print your title here Best daytime phone (XXX-XXX-XXXX) Paid Preparer Use Only Check if you are self-employed PTIN Preparer's name Preparer's signature Date (mm/dd/yyyy)