How much of steve disability payments are reported

Assignment Help Accounting Basics

Reference no: EM132665495

Problem 1: Doris was 70 ½ on May 20, 2018. The bank which held her IRA account had indicated that she would be required to take a Required Minimum Distribution (RMD) of $3,000. She took her RMD on June 30, 2019, which was the year after the year that she turned 70 ½. Assume that her federal tax rate is 22%. What amount of federal taxes must she pay on her $3,000 withdrawal?

Select one:

a. $1,500

b. $ 960

c. $ 660

d. $2,160

Problem 2: Steve, age 55, retired last year on disability due to back problems. Before retirement, his employer paid 75% of his disability insurance premiums. Last year, Steve received $1,350 per month from disability (for 12 months). How much of Steve's disability payments are reported as taxable income?

Select one:

a. $12,150

b. $ 4,050

c. $16,200

d. $ 0

Reference no: EM132665495

Questions Cloud

American politics in comparative perspective feature : Consider the topic of the "American Politics in Comparative Perspective" feature.

What is David penalty : For tax year 2016, the IRS assesses a deficiency against David for $500,000. Disregarding the interest component, what is David's penalty

What is the amount of child tax credit : Sophia's AGI is $35,000, and her tax liability is $1,724. She has no other nonrefundable credits. What is the amount of her child tax credit/credit

Find what is the correct amount of self-employment tax : What is the correct amount of his self-employment tax? floral retail store as a sole proprietorship. During tax year 2019, he had a net profit of $150,000.

How much of steve disability payments are reported : Last year, Steve received $1,350 per month from disability (for 12 months). How much of Steve's disability payments are reported as taxable income?

What is the name of the test you will run : What is the name of the test you will run? Insert your Excel chi square output in your response using the snipping tool and Insert Image.

Determine the tax-free portion of the pension : Determine his tax-free portion of the pension. Which of the following pension or annuity plans would not allow him to use the Simplified Method?

Discuss the impacts of illegal immigration : Discuss the impacts of Illegal immigration upon the United States and evaluate the contrasting reform proposals offered by liberals and conservatives.

What is the penalty for excess contributions to an ira : Hank has contributed more than the maximum allowable amount to his IRA. What is the penalty for excess contributions to an IRA?

User Account

All Pages