Question

LJMark for tollow up Question 2 of 75 Wendy is a sole proprietor with one employee. She maintains a SIMPLE IRA in which she matches salary reduction contributions at the rate of 3% of the employee's compensation. Where on her tax return does she report her own contribution, and where does she report the contribution she makes on behalf of her employee? O Wendy's own salary reduction contribution and employer matches are reported on Schedule C because she has an employee. O Wendy's own salary reduction contribution and her own employer match are both reported on Form 1040; the matching contribution she makes on behalf of herself and her employee, as well as the employee's elective deferrals, are all reported on Schedule C. O Wendy's own salary reduction contribution and her own employer match are both reported on Form 1040; the matching contribution she makes to her employee's SIMPLE IRA is reported on Schedule C contribution is reported on Form 1040, the matching contributions for herself and on behalf of her employee are both reported on Schedule C. Mark for follow up Question 3 of 75

Answer 1

Ans- The correct option is c.

Wendy's own salary reduction contribution and her own employer match are both reported on Form 1040: the matching contribution she makes to her employee's SIMPLE is reported on Schedule C.