Question
Certain transactions and procedures relating to federal and state unemployment taxes follow for Fancy Nancy LLC, a retail store owned by Nancy Roberts. The firms
Certain transactions and procedures relating to federal and state unemployment taxes follow for Fancy Nancy LLC, a retail store owned by Nancy Roberts. The firms address is 2007 Trendsetter Lane, Dallas, TX 75268-0967. The firms phone number is 972-456-1200.The employers federal and state identification numbers are 75-9462315 and 37-9462315, respectively. Carry out the procedures as instructed in each of the following steps.
Name of Employee | Total Earnings | ||
Terri Roma | $ | 5,710 | |
Jo Guyton | 3,675 | ||
Gloria Bermudez | 3,998 | ||
Susie Scott | 5,170 | ||
Anita Thomas | 3,900 | ||
Terri Wong | 2,810 | ||
Total | $ | 25,263 | |
Required:
Compute the state unemployment insurance tax owed on the employees wages for the quarter ended March 31, 2019. This information will be shown on the employers quarterly report to the state agency that collects SUTA tax. The employer has recorded the tax on each payroll date. Although the state charges a 5.4 percent unemployment tax rate, Fancy Nancy LLCs rate is only 1.7 percent because of its experience rating. The employee earnings for the first quarter are shown above. All earnings are subject to SUTA tax. (Round ''Rate" answer to 3 decimal places. i.e., 12.3% should be entered as 0.123)
1.Total amount ..........?
2.rate........................?
3.state unemployment insurance tax....................?
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