In: Accounting
During 2019, Scott Howell received a salary of $135,000. The social security base amount for 2019 was $132,900. How much payroll tax should have been withheld from Scott's salary for 2018?
With hold tax = 132900*6.2%+135000*1.45%
10197.5
If social security base amount is less than salary received then the difference amount is taxable
Attention: On April 2, 2020 the US Treasury announced that Social Security recipients who are not typically required to file a tax return and did not file in 2018 or 2019 do not to need take an action nor need to file a 2018 or 2019 tax return, and will receive their payment directly to their bank account.
The IRS will use the information from your Form SSA-1099 or Form RRB-1099 to generate the payment, which will either be directly deposited into your bank account or sent to you via check in the mail. This includes senior citizens, Social Security recipients or SSI incl. people on SSDI and railroad retirees who are not otherwise required to file a tax return. Since the IRS does not have dependent information for this group of recipients, each person would receive $1,200 per person, without the
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