Which of the Following Statements Regarding the Self-Employment Tax Is

question 153

Multiple Choice

Which of the following statements regarding the self-employment tax is most accurate?

• A)The self-employment tax base is generally the taxpayer's net income from self-employment (usually net income from Schedule C).
• B)Taxpayers who report less than $600 of net income from self-employment (usually net income from Schedule C)are not required to pay self-employment taxes.
• C)The self-employment tax base is net earnings from self employment which is less than net income from self-employment.
• D)The Social Security tax limit does not apply to self-employment taxes.

---

Definitions:

Negatively Skewed

A distribution where the majority of scores fall on the upper end of the distribution and the asymmetrical tail extends into the negative side of the graph.

Quantitative Variables

Variables defined using numeric values or scores.

Numeric Values

Quantitative numbers assigned to variables or attributes, representing quantities, amounts, or ranges.

Latent

Refers to something that is present but not visible, apparent, or actualized; existing as potential.