JC recently graduated from veterinary school and opened their own professional practice. This year, their net profit

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JC recently graduated from veterinary school and opened their own professional practice. This year, their net profit was $32,000. Assume JC does not qualify for the QBI deduction. Compute JC’s after-tax income from their practice assuming

a. Their self-employment tax is $4,522, and their 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?

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Principles Of Taxation For Business And Investment Planning 2023

ISBN: 9781264229741

26th Edition

Authors: Sally Jones, Shelley Rhoades-Catanach, Sandra Callaghan, Thomas Kubick

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Question Posted: Jul 25, 2023 08:29 AM

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JC recently graduated from veterinary school and opened their own professional practice. This year, their net profit

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a b JCs selfemployment tax is 41 percent of the federal tax burden ...View the full answer

Principles Of Taxation For Business And Investment Planning 2023

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