Question

jameson has the following sources of income: sole proprietorship income $40,000 general partnership operating income $5,000 interest income from general partnership $1,200 what is the amount of self-employment tax jameson owes? round your answer to the nearest dollar.

Answer 1

The amount of self-employment tax that Jameson owes is $6358.

How to calculate the tax?

It should be noted that tax simply has to do with the levy that people and companies pay to the government.

Based in the information, the following can be deduced:

Sole proprietorship income = $40,000

General partnership operating income = $5,000

Interest income from general partnership = $1,200

Therefore, self employement income = 40,000 + 5,000

= 45,000

Net earnings from self employment = 45,000 - (7.65% × 45000)

= 41,557.5

Self employment tax = 41,557.5 * 15.30%

= 6,358

Therefore, the amount of self-employment tax that Jameson owes is $6358.

Learn more about tax on:

brainly.com/question/25783927

#SPJ1