Last year Ellen received $75,000 in compensation from her employer who also agreed to pay her Social Security taxes of $4,650 and Medicare taxes of $1,088 without deducting them from her wages. Based solely on these facts, what amount must Ellen include in her income?

Last year Ellen received $75,000 in compensation from her employer who also agreed to pay her Social Security taxes of $4,650 and Medicare taxes of $1,088 without deducting them from her wages. Based solely on these facts, what amount must Ellen include in her income?

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter1: Federal Income Taxation—an Overview

Section: Chapter Questions

Problem 51P: Darrell is an employee of Whitneys. During the current year, Darrells salary is 136,000. Whitneys...

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Last year Ellen received $75,000 in compensation from her employer who also agreed to pay her Social Security taxes of
$4,650 and Medicare taxes of $1,088 without deducting them from her wages. Based solely on these facts, what amount
must Ellen include in her income?

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