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Lara Started a Self-Employed Consulting Business in the Last Part

question 33

Essay

Lara started a self-employed consulting business in the last part of the year and earned $60,000 of self- employment income.She had been employed as manager in a consulting firm prior to starting her own business and had earned $175,000.
(a)What is Lara's Additional Medicare Tax for 2014,if any?
(b)What is Lara's deduction for AGI for the Additional Medicare Tax?


Definitions:

Accountability

The obligation of individuals or organizations to account for their activities, accept responsibility for them, and disclose the results in a transparent manner.

Ambulation

The ability to walk from place to place independently with or without assistive devices.

Documenting

The process of systematically recording and maintaining information relevant to a particular field or activity.

Postoperative

Pertaining to the period following a surgical operation, including recovery and rehabilitation phases.

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