An employer calculates the amount of income tax withheld from salary or wages based on the information an employee provides on the following form:
Black Company paid wages of $180,000, of which $40,000 was qualified wages for the work opportunity tax credit under the general rules. Black Company’s deduction for wages for the year is:
Several years ago, Tom purchased a structure for $300,000 that was originally placed in service in 1929. Three and one-half years ago he incurred qualifying rehabilitation expenditures of $600,000. In the current year, Tom sold the property in a taxable transaction. Calculate the amount of the recapture of the tax credit for rehabilitation expenditures.
In terms of the withholding procedures, which statement does not reflect current rules?
The ceiling amount and percentage for 2013 for the Medicare portion of the self-employment tax are: