Instruction 5-1: In the following problem, use the net FUTA tax rate of 0.6% on
ID: 2447995 • Letter: I
Question
Instruction 5-1:
In the following problem, use the net FUTA tax rate of 0.6% on the first $7,000 of taxable wages.
Refer to Instruction 5-1. Ted Carman worked for Rivertide Country Club and earned $28,500 during the year. He also worked part time for Harrison Furniture Company and earned $12,400 during the year. The SUTA tax rate for Rivertide Country Club is 4.2% on the first $8,000, and the rate for Harrison Furniture Company is 5.1% on the first $8,000. Calculate the FUTA and SUTA taxes paid by the employers on Carman's earnings.
Instruction 5-1:
In the following problem, use the net FUTA tax rate of 0.6% on the first $7,000 of taxable wages.
Explanation / Answer
Instruction 5-1: In the following problem, use the net FUTA tax rate of 0.6% on