Homework Help is Here – Start Your Trial Now!
Business
Accounting
UTA tax = $ employer in Durham, North Carolina, employs three individuals, whose taxable ea uring the current pay period, these employees earn $980, $1,600, and $1,150, re reshold is $26,000. UTA tax = $ UTA tax = $

UTA tax = $ employer in Durham, North Carolina, employs three individuals, whose taxable ea uring the current pay period, these employees earn $980, $1,600, and $1,150, re reshold is $26,000. UTA tax = $ UTA tax = $

Century 21 Accounting General Journal
Century 21 Accounting General Journal
11th Edition
ISBN:9781337680059
Author:Gilbertson
Publisher:Gilbertson
Chapter13: Accounting For Payroll And Payroll Taxes
Section13.3: Reporting Withholding And Payroll Taxes
Problem 1WT
See similar textbooks
icon
Related questions
Question
3: An employer in the U.S. Virgin Islands, employs two individuals, whose taxable earnings to date (prior to the current pay period) are $1,420 and $32,100. During the current pay period, these employees earn $3,350 and $1,700, respectively. The applicable SUTA tax rate is 4%, and the U.S. Virgin Islands SUTA threshold is $32,500. FUTA tax = $ SUTA tax = $ 4: An employer in Durham, North Carolina, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $6,000, $22,600, and $35,800. During the current pay period, these employees earn $980, $1,600, and $1,150, respectively. The applicable SUTA tax rate is 1.2%, and the North Carolina SUTA threshold is $26.000, FUTA tax = $ SUTA tax = $ FUTA rate = 0.6% on first 7000 of an Employee's salary SUTA rate = 2.1%. Threshold = $ 16500 Answer 1) FUTA Tax = $ 1450 * 0.6% = $ 8.7 Note: FUTA is not applicable on the other individual as its annual income is more than $ 7000. SUTA Tax = ( $ 1450 + $ 2000 ) * 2.1% = $ 72.45 Note: Since , the annual income ($ 6100 + $ 8800 = $ 14900 ) is less than the threshold , the SUTA tax is applicable on both the individuals.
Transcribed Image Text:3: An employer in the U.S. Virgin Islands, employs two individuals, whose taxable earnings to date (prior to the current pay period) are $1,420 and $32,100. During the current pay period, these employees earn $3,350 and $1,700, respectively. The applicable SUTA tax rate is 4%, and the U.S. Virgin Islands SUTA threshold is $32,500. FUTA tax = $ SUTA tax = $ 4: An employer in Durham, North Carolina, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $6,000, $22,600, and $35,800. During the current pay period, these employees earn $980, $1,600, and $1,150, respectively. The applicable SUTA tax rate is 1.2%, and the North Carolina SUTA threshold is $26.000, FUTA tax = $ SUTA tax = $ FUTA rate = 0.6% on first 7000 of an Employee's salary SUTA rate = 2.1%. Threshold = $ 16500 Answer 1) FUTA Tax = $ 1450 * 0.6% = $ 8.7 Note: FUTA is not applicable on the other individual as its annual income is more than $ 7000. SUTA Tax = ( $ 1450 + $ 2000 ) * 2.1% = $ 72.45 Note: Since , the annual income ($ 6100 + $ 8800 = $ 14900 ) is less than the threshold , the SUTA tax is applicable on both the individuals.
PSb 5-5 Calculate FUTA and SUTA Tax For each of the following independent circumstances calculate both the FUTA and SUTA tax owed by the employer: NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation. 1: An employer in Delaware City, Delaware, employs two individuals, whose taxable earnings to date (prior to the current pay period) are $6,100 and $8,800. During the current pay period, these employees earn $1,450 and $2,000, respectively. The applicable SUTA tax rate is 2.1%, and the Delaware SUTA threshold is $16,500. FUTA tax = $ 8.70 SUTA tax = $ 72.45 2: An employer in Bridgeport, Connecticut, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $5,500, $12,900, and $14,200. During the current pay period, these employees earn $2,200, $1,950, and $2,400, respectively. The applicable SUTA tax rate is 4.9%, and the Connecticut SUTA threshold is $15,000. FUTA tax = $ SUTA tax = $
Transcribed Image Text:PSb 5-5 Calculate FUTA and SUTA Tax For each of the following independent circumstances calculate both the FUTA and SUTA tax owed by the employer: NOTE: For simplicity, all calculations throughout this exercise, both intermediate and final, should be rounded to two decimal places at each calculation. 1: An employer in Delaware City, Delaware, employs two individuals, whose taxable earnings to date (prior to the current pay period) are $6,100 and $8,800. During the current pay period, these employees earn $1,450 and $2,000, respectively. The applicable SUTA tax rate is 2.1%, and the Delaware SUTA threshold is $16,500. FUTA tax = $ 8.70 SUTA tax = $ 72.45 2: An employer in Bridgeport, Connecticut, employs three individuals, whose taxable earnings to date (prior to the current pay period) are $5,500, $12,900, and $14,200. During the current pay period, these employees earn $2,200, $1,950, and $2,400, respectively. The applicable SUTA tax rate is 4.9%, and the Connecticut SUTA threshold is $15,000. FUTA tax = $ SUTA tax = $
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Unemployment Taxes
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.
Recommended textbooks for you
Century 21 Accounting General Journal
Century 21 Accounting General Journal
Accounting
ISBN:
9781337680059
Author:
Gilbertson
Publisher:
Cengage
Accounting (Text Only)
Accounting (Text Only)
Accounting
ISBN:
9781285743615
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Corporate Financial Accounting
Corporate Financial Accounting
Accounting
ISBN:
9781305653535
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Individual Income Taxes
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT
SEE MORE TEXTBOOKS