Question
Mrs. Singer owns a profitable sole proprietorship. For each of the following cases, use a Schedule SE, Form 1040, to compute her 2016 self-employment tax
Mrs. Singer owns a profitable sole proprietorship. For each of the following cases, use a Schedule SE, Form 1040, to compute her 2016 self-employment tax and her incokme tax deduction for such tax.
a. Compute 2016 self employment tax and the income tax deduction for sich tax if Mrs. Singer's net profit from Schedule C was $51,458. She had no other earned income.
b. Compute 2016 self employment tax and the income tax deduction for sich tax if Mrs. Singer's net profit from Schedule C was $51,458, and she received a $80,000 salary from an employer.
c. Compute 2016 self employment tax and the income tax deduction for sich tax if Mrs. Singer's net profit from Schedule C was $51,458, and she received a $127,000 salary from an employer.
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