JC recently graduated from veterinary school and opened her own professional practice. Assume JC does not qualify for the QBI deduction. This year, her net profit was $27,900.

1. Compute JCs after-tax income from her practice assuming her self-employment tax is $3,942, and her marginal income tax rate is 22 percent.
2. What percentage of the federal tax burden on JCs business income is represented by the self-employment tax?

Compute JCs after-tax income from her practice assuming her self-employment tax is $3,942, and her marginal income tax rate is 22 percent. (Round your intermediate calculations to the nearest whole dollar amount.)

After-tax income

$18,385WRONG

What percentage of the federal tax burden on JCs business income is represented by the self-employment tax? (Round your answer to the nearest whole percent.)

Self-employment tax

41

% CORRECT