Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Use the 2021 FICA tax rates, shown, to answer the following question.If a taxpayer is self-employed and earns $ 149 comma 000$149,000, what are the

Use the 2021 FICA tax rates, shown, to answer the following question.If a taxpayer is self-employed and earns

$ 149 comma 000$149,000,

what are the taxpayer's FICA taxes?

Employee's Rates

Matching Rates Paid by the Employer

Self-Employed Rates

7.65% on first

$142 comma 800142,800

of income

1.45% of income in excess of

$142 comma 800142,800

7.65% on first

$142 comma 800142,800

paid in wages

1.45% of wages paid in excess of

$142 comma 800142,800

15.3% on first

$142 comma 800142,800

of net profits

2.9% of net profits in excess of

$142 comma 800142,800

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction To Federal Income Taxation In Canada

Authors: Robert E. Beam, Stanley N. Laiken, James J. Barnett

33rd Edition

1554965020, 978-1554965021

More Books

Students also viewed these Accounting questions

Question

=+22. Energy investment decisions.

Answered: 1 week ago

Question

In Exercises 1558, find each product. (9 - 5x) 2

Answered: 1 week ago

Question

relatively high socioeconomic development

Answered: 1 week ago