Question

9. Assume that Samson and Delilah's Gross Alternative Minimum Tax is $16.320 and that their regular income tax computed using the normal rules and tables is $15,030. The following is true: A. Samson and Delilah have to pay a total tax of $15,030. B. Samson and Delilah have to pay a total tax of $16,320 C. Samson and Delilah have to pay a total tax of $1,290. D. The Alternative Minimum Tax is not applicable to John and Susan. E. None of the above. The answer is 14. Which of the following types of income is subject to the self- employment tax? A. Interest income B. Gain on sale of real estate C. Income from a sole proprietor's law practice D. Dividends from stock E. None of the above 15. Elwin worked at three jobs during 2018. He earned $30,000, $27,000, and $9,000 respectively from the jobs. What is the total amount of FICA tax that would have been withheld from Elwin's wages? A $10,098 B. $4,092 C. $957 D. $5,049 E. None of the above. The answer is 20. Amy is a single taxpayer. Her income tax liability in the prior year was $5,178. Amy earns $50,000 of income ratably during the current year and her tax liability is $4,372. To avoid penalty. Amy's smallest amount of required annual withholding and estimated payments is: A. $4,372 B. $3.935 C. $5.178 D. $4,660 E. None of the above. The answer is

include procedure

Answer 1

Question : Every year, higher income tax poyens. must calculate and say higher of Altermave Minimum tax og Regular tax. Iso Sanson and Delilah's Alternative Minimum tax is & 16,320 and regular income tax is $15.30 so, Samson and Delilah's has to pay ANT gince AMT is more than regular income taxa Higher consent of Excess amount payment over the regular income tor will be available as AMT credit There for AMT credit . is $1,990 ($16,320 - $15,030) so option ß is Samson correct that is and Delilah have to pay a total tax of $16,320

Question no. 19 = self surployment tax will pay on I earnings il income learned by such self employed sole proposten horfone, Option C is correct angwer • Income from a sole proprieta's law that is practice " ! Question No. Dit | Elwin earned during no 18 is $66.000 C$ 30,000 H12,000 + $ 9.000 Toted cuncunt of FICA tay withholding from Elwin's wages: FICA tax Employer Contribution from complayen hand social security a 6 .2 % (466,000 x 6,2%) $ 4,092 FICA tax Employees Contribution from Employee's wagy 6.2% - = $4,092. 16 Madicare 1.43%. $66.600 x 1.49% 957 1.45% $66.000x 1.457 $957 ital Amount at thhold from was, Coption is correct) $5,049

Question No. : To acto avoid penalty small amount of required annual withholding and estimated payment is amount of tax liability, There the option A is the correct answer that is & 4,371 is minimum amount of withhold to avoid the penalty.