Answered: The information given below was taken…

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter8: Employer Taxes, Payments, And Reports

Section: Chapter Questions

Problem 2PA

See similar textbooks

Related questions

Question

The information given below was taken from the payroll records of Clegg Company (Oregon employer) for 20--. Use the information to complete the partially illustrated Form 940 shown below. Assume that all taxes were deposited timely.

Total remuneration: $155,900

Included in the total remuneration is $3,000 of employer's contributions to the employees' 401(k) plans.

Remuneration in excess of $7,000: $66,670

Taxable remuneration by quarters:
1st quarter	$43,700
2nd quarter	$24,940
3rd quarter	$14,360
4th quarter	$3,230

If required, round your answers to two decimal places.

Part 2: Determine your FUTA tax before adjustments. If any line does NOT apply, leave it blank.

Total payments to all employees

3 fill in the blank 1

Payments exempt from FUTA tax

4 fill in the blank 2

Select:

Total of payments made to each employee in excess of $7,000

5 fill in the blank 4

Subtotal (line 4 + line 5 = line 6)

6 fill in the blank 5

Total taxable FUTA wages (line 3 – line 6 = line 7)

7 fill in the blank 6

FUTA tax before adjustments (line 7 x .006 = line 8)

8 fill in the blank 7

Part 5: Report your FUTA tax liability by quarter only if line 12 is more than $500. If not, go to Part 6.

Report the amount of your FUTA tax liability for each quarter; do NOT enter the amount you deposited. If you had no liability for a quarter, leave the line blank.

16a 1st quarter (January 1 – March 31)

16a fill in the blank 8

16b 2nd quarter (April 1 – June 30)

16b fill in the blank 9

16c 3rd quarter (July 1 – September 30)

16c fill in the blank 10

16d 4th quarter (October 1 – December 31)

16d fill in the blank 11

Total tax liability for the year (lines 16a + 16b + 16c + 16d = line 17)

17 fill in the blank 12 Total must equal line 12.

20. PR.05.056

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions