Recording the deposit of social security, Medicare, and income taxed.
After the Hennessy Corporation paid its employees on July 15, 2010 recorded the Corporation share payroll taxes for the payroll paid that date, the firm general ledger shared a balance of 20,116 Social Security tax payable accounts, and balance of 4725 in Medicare tax payable account, and a balance of 18,360 in the employee's income tax payable account. On July 16 the business issued a check to deposit the taxes owed in the first taxes bank. Record this transaction in general ledger form.
Computing employer's payroll taxes,
At the end of the weekly payroll, On June 30, 2010 the payroll register of consulting company should employees earning of 71,200. Determine the firm's payroll taxes for that period. Use social security rate of 6.2%, Medicare rate of 1.45% and FUTA rate of 0.8%, and SUTA rate of 4.5%, consider already subject to Social Security tax and Medicare tax and 39,000 subject to FUTA and SUTA taxes.