income tax concept unit 7
cl152293
4065unit7.docxPayroll Tax Reporting Issues
Using your text, complete the following. In these problems, apply your knowledge of a variety of issues linked to reporting payroll taxes on Forms 940 and 941.
· Problem 51, on page 10-40.
· Problem 53, on page 10-41.
· Problem 55, on page 10-41.
· Problem 56, on page 10-41.
· Problem 57, on page 10-42.
Refer to the Payroll Tax Reporting Issues Scoring Guide to ensure you have met all of the requirements of the assignment.
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51. Lisa is single and claims one allowance. Use the wage bracket tables available online in Publication 15, (Circular E), Employer’s Tax Guide. a. If she is paid weekly and her annual wages are $78,000, what is her withholding per paycheck? b. If she is paid monthly and her annual wages are $31,260, what is her withholding per paycheck? c. If she is paid biweekly and her annual wages are $61,620, what is her withholding per paycheck? d. If she is paid semimonthly and her annual wages are $55,800, what is her withholding per paycheck? |
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53. Roberto’s salary is $133,200 in 2019. Roberto is paid on a semimonthly basis, is single, and claims one allowance. Use the percentage method table in the Appendix to this chapter. a. What is Roberto’s federal tax withholding per pay period? b. What is Roberto’s FICA withholding per pay period before he reaches the social security limit? c. For the last pay period in 2019, what is Roberto’s FICA withholding? |
55. CFG Company has the following employees:
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Wages Paid |
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Eddie |
$12,000 |
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Melanie |
6,000 |
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Shelly |
22,000
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CFG receives the maximum credit for state unemployment taxes. What is the FUTA tax that CFG Company would owe for the year?
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56. 56. Jacob Turner hired Jen Hatcher as a housekeeper starting on January 2 at $750 monthly. Jacob does not withhold any federal taxes. Assume that Jen is not a housekeeper for anyone else. Assume that Jacob paid $2,250 in wages for the fourth quarter of 2019. a. How much in social security tax should Jacob pay? _________ b. How much Medicare tax should Jacob pay? c. How much FUTA tax should Jacob pay? |
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57. Lauprechta Inc. has the following employees on payroll:
Complete the table for taxes to be withheld for each pay period.
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