If an Individual Is an Employee and Also Has Self-Employment

question 62

True/False

If an individual is an employee and also has self-employment income,the maximum tax base for computing self-employment tax is reduced by the wages that are subject to the FICA tax.

---

Definitions:

Uniform Transfers to Minors Act

A statute that allows minors to receive gifts or inheritance in a custodianship until they reach a certain age.

Minor

An individual under the legal age of majority, typically 18 years, who has limited legal rights and responsibilities.

Accession

The acquisition of property by its incorporation or union with other property.

Personal Property

Property that is movable, as opposed to real estate. It includes items like furniture, vehicles, and electronic devices.