Question
Eva received $60,000 in compensation payments from JAZZ Corp. during 2019. Eva incurred $5,000 in business expenses relating to her work for JAZZ, Corp. JAZZ
Eva received $60,000 in compensation payments from JAZZ Corp. during 2019. Eva incurred $5,000 in business expenses relating to her work for JAZZ, Corp. JAZZ did not reimburse Eva for any of these expenses. Eva is single and she deducts a standard deduction of $12,200. Based on these facts answer the following questions:
Assume that Eva is considered to be an employee. What amount of FICA taxes is she required to pay for the year?
Assume that Eva is considered to be an employee. What is her taxable income for the year?
Assume that Eva is considered to be a self-employed contractor. What is her taxable income for the year?
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