. Compute JC's after-tax income from her practice assuming her self-employment tax is $3,942, and her marginal income tax rate is 22 percent. . What percentage of the federal tax burden on JC's business income is represented by the self-employment tax?
. Compute JC's after-tax income from her practice assuming her self-employment tax is $3,942, and her marginal income tax rate is 22 percent. . What percentage of the federal tax burden on JC's business income is represented by the self-employment tax?
Chapter5: Gross Income: Exclusions
Section: Chapter Questions
Problem 13DQ
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Transcribed Image Text:Required A Required B
What percentage of the federal tax burden on JC's business income is represented by the self-employment tax? (Round your
answer to the nearest whole percent.)
Self-employment tax
%
< Required A
Required B >
Transcribed Image Text:JC recently graduated from veterinary school and opened her own professional practice. Assume JC does not qualify
for the QBI deduction. This year, her net profit was $27,900.
a. Compute JC's after-tax income from her practice assuming her self-employment tax is $3,942, and her marginal
income tax rate is 22 percent.
b. What percentage of the federal tax burden on JC's business income is represented by the self-employment tax?
Complete this question by entering your answers in the tabs below.
Required A Required B
Compute JC's after-tax income from her practice assuming her self-employment tax is $3,942, and her marginal income tax
rate is 22 percent. (Round your intermediate calculations to the nearest whole dollar amount.)
After-tax income
< Required A
Required B >
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