a taxpayer has $100,000 in W-2 income, and $100,000 in self-employment income. If the maximum earned...

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a taxpayer has $100,000 in W-2 income, and $100,000 in self-employment income. If the maximum earned...

a taxpayer has $100,000 in W-2 income, and $100,000 in self-employment income. If the maximum earned income subject to FICA tax is $128,400, the employee tax rate is 7.65%, and the self-employment tax rate is 15.30%, how much does this taxpayer owe in FICA tax

a. $11,995.20

b. $19,645.20

c. $9,822.60

d. $17,472.60

business accounting

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Answer 1

Answer #1

The correct answer is c) $9,822.60.

Supporting calculations:

FICA Tax = $128,400*7.65/100

= $9,822.60

Therefore, FICA tax is $9,822.60.

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Answer 2

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