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Dave and his friend Stewart each owns 5 0 percent of KBS . During the year, Dave received $ 8 4 , 0 0 0

Dave and his friend Stewart each owns 50 percent of KBS. During the year, Dave received $84,000 compensation for services he
performed for KBS during the year. He performed a significant amount of work for the entity, and he was heavily involved in
management decisions for the entity (he was not a passive investor in KBS). After deducting Dave's compensation, KBS reported
taxable income of $33,600.
How much FICA and/or self-employment tax is Dave required to pay on his compensation and his share of the KBS income if KBS is
formed as a C corporation, an S corporation, or a limited liability company (taxed as a partnership)(ignore the 0.9 percent additional
Medicare tax)? How much FICA tax would the entity be required to pay on the compensation paid to Dave?
Note: Do not round any percentage calculations. Round other intermediate calculations and final answers to the nearest whole
dollar amount.
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