Minister B pays SE tax on her wage income although she is treated as an employee...

Minister B pays SE tax on her wage income although she is treated as an employee under the common-law rules. She is paid a base salary and receives a housing allowance. Where does Minister B deduct her health insurance costs?

	A.	Page 1 of Form 1040
	B.	Schedule A of Form 1040
	C.	Schedule C of Form 1040
	D.	Health insurance costs are not deductible by Minister B

Solutions

Expert Solution

Solution: Page 1 of Form 1040

Explanation: If Minister B is a common law employee can claim health insurance deduction on page 1 of Form 1040. This deduction treatment unlike an itemized deduction, is beneficial as it lowers the adjusted gross income (AGI).

ekkarill92 answered 2 years ago

Next > < Previous

Related Solutions

Based on the wage-bracket method, what is the federal income tax withholding for an employee who...

Based on the wage-bracket method, what is the federal income tax withholding for an employee who is married, paid on a bi-weekly basis, has two federal withholding allowances, and earns $1,317? $63 $120 $67 Which of the following groups may not be paid less than the federal minimum wage? 1.Full-time students 2.Tipped employees 3.State government workers Which must a company have before hiring employees? 1.Employer Identification Notice 2.Employer Identification Number 3.All the above An employer designates any 7-day period as...

Sarah is single. She files her tax return as Single. Her 2020 income from wages is...

Sarah is single. She files her tax return as Single. Her 2020 income from wages is $450,400. She has “net long-term capital gains” of $100,000. Total 2020 gross income is $550,400. Sarah is under 65 years of age and does not itemize her deductions. What is Sarah’s total federal income tax? A) $112,829.75 B) $128,095.50. C) $147,922.50 D) $149,701 please show work thank you

Assume that the minister of finance was considering lowering the rate of income tax of individuals...

Assume that the minister of finance was considering lowering the rate of income tax of individuals from 25% to 22%. What effects on the economy would have to be considered before such a decision could be made?

Linda received $90,000 in salary income for 2018. She has no dependents. Determine her income tax...

Linda received $90,000 in salary income for 2018. She has no dependents. Determine her income tax liability under each of the following independent situations: a. She files as a single individual. b. She is married and files a joint return with her spouse. Their only income is her $90,000 salary. c. She is married but files a separate

Sarah wants to invest $2M. Based on her income she is currently in the 28% tax...

Sarah wants to invest $2M. Based on her income she is currently in the 28% tax brackets for ordinary income and in the 15% bracket for Long term capital gains. Her tax bracket for state income tax purposes are 5% and 0% on long term capital gains. Requirements: for each of the four situations below, determine NPV of after tax cash flows: SItuation 1 situation 2 situation 3 situation 4 Type: Corporate bonds municipal bonds corporate stocks municipal bonds Time...

For each employee listed, use the wage-bracket method to calculate federal income tax withholding. 1:Phil McGlynn...

For each employee listed, use the wage-bracket method to calculate federal income tax withholding. 1:Phil McGlynn (Married; 3 federal withholding allowances) earned weekly gross pay of $750. Federal income tax withholding = $ 2:Gary Williams (single; 1 federal withholding allowance) earned biweekly gross pay of $1,920. He participates in a flexible spending account, to which he contributes $50 during the period. Federal income tax withholding = $ 3:Lila Downing (single; 2 federal withholding allowances) earned monthly gross pay of $1,285....

The Energy and Environment Minister has asked you to advise her on promoting “green power.” She...

The Energy and Environment Minister has asked you to advise her on promoting “green power.” She has been given a proposal to offer a 1/c per kWh subsidy to green power. You suggest that she should instead impose a 1/c per kWh tax on power that isn’t green. She says that the cost advantage of green power is the same either way, but taxes are harder to sell politically. You still argue for the tax. Why? (Max 100 words)

Tatun Inc. pays state income tax at a 5% rate and federal income tax at a...

Tatun Inc. pays state income tax at a 5% rate and federal income tax at a 21% rate. Tatun recently engaged in a transaction in Mexico, which levied a $25,200 income tax on the transaction. Tatun's pretax net income for the current year is $1,913,900. Compute Tatun's total income tax burden assuming that: The Mexican tax is nondeductible for state and federal tax purposes. The Mexican tax is deductible for state and federal tax purposes.

Although Goldman Sachs paid Heather $90,000.00 per year, she was not satisfied with her job. She...

Although Goldman Sachs paid Heather $90,000.00 per year, she was not satisfied with her job. She had loved going white-water rafting and skiing with her family in Utah since she was a little girl. So last year, she decided to open her own business: Family Adventures. During the summer, she takes families on different white-water trips, and in the winter, she leads clients on skiing trips. To start her business, Heather borrowed $100,000 from a bank and used $70,000.00 of...

3. Mary goes to the doctor and pays for her visit. When she gets home, she...

3. Mary goes to the doctor and pays for her visit. When she gets home, she must fill out a form and submit it to the insurance company so she can be reimbursed. What type of insurance does she most likely have? A. HMO B. POS C. Indemnity D. The Blues

Subjects