How much must betsy include in gross income

Assignment Help Taxation
Reference no: EM13510968

Betsy receives a salary of $50,000 from her employer (a retail clothing store) and several fringe benefits. Her employer pays premiums of $300 for her $40,000 group term life insurance coverage and pays $2,400 for medical insurance premiums. Her employer provides dependent care facilities (where she places her young children while she is at work) valued at $4,500 per year. Her employer also allows employees to purchase clothing (the employer's inventory) at a 50 percent discount off the retail sales price (which is 5 percent more than the employer's cost). During the year, Betsy purchases clothing with a retail value of $10,000 for $5,000. In addition to her salary, how much must Betsy include in gross income?

Reference no: EM13510968

Questions Cloud

Employer-sponsored qualified retirement plan : How much can Nick deduct if he is not covered by an employer-sponsored qualified retirement plan - how much can Nick deduct if he is covered by an employer-sponsored qualified retirement plan?
Calculate the cars rotational energy : A car with a total mass of 1.57 103 kg has wheels of radius 32.5 cm and moment of inertia 0.875 kg · m2. Find the car's rotational energy when the car is moving at a speed of 21.0 m/s
Compute how long is year on mercury in units of earth years : The average distance of the planet Mercury from the sun is 0.39 times the average distance of the earth from the sun. How long is a year on Mercury in units of earth years
How much income should karen have recognized : How much income should Karen have recognized in the year the ISO was granted - how much income does Karen recognize when she exercises the ISO?
How much must betsy include in gross income : During the year, Betsy purchases clothing with a retail value of $10,000 for $5,000. In addition to her salary, how much must Betsy include in gross income?
Determine the vertical height of the hill : A bicyclist is traveling at a speed of 20 m/s as he approaches the bottom of hill. Determine the vertical height of the hill
Does kevin have any taxable income as a result : During the year, Kevin paid $300 for cleaning that would normally have cost $500. Does Kevin have any taxable income as a result of this discount?
Calculate the moment of inertia of the pulley : A 1.05 kg mass is attached to a light cord that is wrapped around a pulley of radius 2.65 cm, which turns with negligible friction. Find the moment of inertia of the pulley
Should wendy claim the income exclusion : Should Wendy claim the income exclusion or tax credit and how much tax does she save by using the alternative selected?

Reviews

Write a Review

Taxation Questions & Answers

  Explain and calculate fbt liability

Explain and calculate FBT liability. What is the after - tax cost to the employer of providing the benefits and what is his capital gain and in what year is it assessed? Is there a CGT event?

  Calculate sem pty ltds taxable income

Sections of the Acts and relevant case law how the Revenue and Expense items (together with the Notes) in the company's accounts are treated for tax purposes and calculate SEM Pty Ltd's taxable income for 2011/12

  Cost of the property acquired by the new corporation

Specify the cost and ACB of the consideration received by Sidney, specify the PUC of the shares received by Sidney and indicate the cost of the property acquired by the new corporation.

  Write a report to hanson based on the information

Write a report to Hanson based on the information above. Your report should include the chargablilty of Hanson and his wife Juliana Kaur. You are also required to explain in your report the each stages taken to obtain the chargeable income.

  What is griffin current e&p for this year

Taxable income includes a deduction for $40,000 of depreciation that exceeds the depreciation allowed for E&P purposes.

  Describe how a taxpayer might assess the financial solvency

Describe how a taxpayer might assess the financial solvency and viability of a government using government-wide financial statements prepared according to generally accepted accounting principles.

  The texas disciplinary rules of professional conduct

The Texas Disciplinary Rules of Professional Conduct

  Evaluate clarks tax basis in his kal-el interest

Evaluate Clark's tax basis in his Kal-El interest on December 31, 20X1?

  What is sallys filing status for 2012

Tony supports the following individuals during the current year: Miranda, his former mother-in-law who lives in her own home and has no gross income; his cousin, Jeff, age 23, who is a full-time student, earns $7,000 during the year, and lives ..

  At what amount does cuff price the food

This price includes the 6% sales tax and the 15% service charge. Sales tax is computed on the food plus the service charge. The service charge is computed on the food only. At what amount does Cuff price the food?

  The items cause taxable income

The following items cause taxable income to be different than pretax financial income.

  Barnwell''s effective interest revenue

Organize amortization schedules that designate Barnwell's effective interest revenue for every interest period during the term to maturity.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd