Scenario $1$

Assume the following structure for a potential group of entities providing butler

services or equipment.

CDO

Barrow $(50\%)$

Alfred $(30\%)$

Carson $(20\%)$

Polished Doors

Carson $(60\%)$

John $(40\%)$

Feather Dusters

John $(75\%)$

Alfred $(25\%)$

Servants Hire

Alfred $(40\%)$

Barrow $(30\%)$

McCree $(30\%)$

Butler Trio

Carson $(40\%)$

Barrow $(25\%)$

McCree $(20\%)$

John $(15\%)$

Required

A$.$ Determine the members of the group $($if any$)$ for payroll tax purposes

$($assuming ownership is control$).$ Be sure to clearly touch on each person or

entity in your analysis, explaining why they are or are not members.

B$.$ Would your answer change if Carson was to buy all of John$$s holding in Butler

Trio? Why or why not?

Scenario $2$

What is the amount of payroll tax applicable if $($annual$)$ wages are $$3,750,000?$