Emily, who is single, has been offered a position as a city landscape consultant. The position pays $125,000 in cash wages. Assume Emily has no dependents. Emily deducts the standard deduction instead of itemized deductions, she is not eligible for the qualified business income deduction, and she did not make any charitable donations. (Use the tax rate schedules.)b-1. Suppose Emily receives a competing job offer of $120,000 in cash compensation and nontaxable (excluded) benefits worth $5,000. What is the amount of Emily’s after-tax compensation for the competing offer? (Round your intermediate calculations and final answer to the nearest whole dollar amount.) 2021 Tax Rate SchedulesIndividualsSchedule X-SingleIf taxable income is over:But not over:$ 9,950$ 40,525$ 86,375$ 164,925$ 209,425$ 523,600The tax is:$10% of taxable income$ 9,950$ 40,525$ 86,375$ 164,925$ 209,425$ 523,600$995 plus 12% of the excess over $9,950$4,664 plus 22% of the excess over $40,525$14,751 plus 24% of the excess over $86,375$33,603 plus 32% of the excess over $164,925$47,843 plus 35% of the excess over $209,425$157,804.25 plus 37% of the excess over $523,600 b-1. Suppose Emily receives a competing job offer of $120,000 in cash compensation and nontaxable (excluded) benefits worth$5,000. What is the amount of Emily's after-tax compensation for the competing offer? (Round your intermediate calculations andfinal answer to the nearest whole dollar amount.)DescriptionAmount(1) Gross income$120,000(2) For AGI deductions(3) Adjusted gross income$120,000(4) Standard deduction(5) Taxable income$120,000(6) Income tax liabilityAfter-tax compensation

Solution:- Given, Emily Receives a job offer = $1,20,000 Non-taxable benefits = $5,000 As per 2021…

Answered: Emily, who is single, has been offered…

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter21: Partnerships

Section: Chapter Questions

Problem 55P

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Emily, who is single, has been offered a position as a city landscape consultant. The position pays $125,000 in cash wages. Assume Emily has no dependents. Emily deducts the standard deduction instead of itemized deductions, she is not eligible for the qualified business income deduction, and she did not make any charitable donations. (Use the tax rate schedules.)

b-1. Suppose Emily receives a competing job offer of $120,000 in cash compensation and nontaxable (excluded) benefits worth $5,000. What is the amount of Emily’s after-tax compensation for the competing offer? (Round your intermediate calculations and final answer to the nearest whole dollar amount.)

2021 Tax Rate Schedules
Individuals
Schedule X-Single
If taxable income is over:But not over:
$ 9,950
$ 40,525
$ 86,375
$ 164,925
$ 209,425
$ 523,600
The tax is:
$
10% of taxable income
$ 9,950
$ 40,525
$ 86,375
$ 164,925
$ 209,425
$ 523,600
$995 plus 12% of the excess over $9,950
$4,664 plus 22% of the excess over $40,525
$14,751 plus 24% of the excess over $86,375
$33,603 plus 32% of the excess over $164,925
$47,843 plus 35% of the excess over $209,425
$157,804.25 plus 37% of the excess over $523,600

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