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Line Item Amount
1 Net farm profit from Schedule F --
2 Net profit from Schedule C $43,557.62
3 Combine lines 1 and 2 43,557.62
4a Multiply line 3 by 0.9235 40,225.00
4b Optional method amount --
4c Combine lines 4a and 4b 40,225.00
5b Church employee income --
6 Net earning from self-employment
(combine lines 4c and 5b) 40,225.00
7 Maximum amount of combined wages
and self-employment earnings subject
to social security tax for 2000 76,200.00
8a Total social security wages and tips --
8b Unreported tips --
8c Add lines 8a and 8b 43,557.00
9 Subtract line 8c from line 7 --
10 Multiply the smaller of line 6 or
line 9 by 0.124 1498.79
11 Multiply line 6 by 0.029 1,166.53
12 Self-employment tax
(add lines 10 and 11) 1,665.31
1This number is incorrect; the product of $40,225
(line 6 amount) and 0.124 is $4,987.90.
Petitioner erroneously reported total tax of $7,437.65,
which he computed by adding $832.65 (approximately 50 percent of
the $1,665.31 self-employment tax he computed) to the $6,605 tax
on his taxable income.
Without regard to the 1999 overpayment, petitioner made
three estimated tax payments ($1,331.50, $5,233, and $1,374.37)
totaling $7,938.87 for 2000. He claimed total 2000 estimated tax
payments of $10,705.87 that included the estimated tax payments
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Last modified: May 25, 2011