A: Common fringe benefits provide employees total compensation above and beyond stated wages or salaries, and a wide range of fringe benefits are offered from employers. To take advantage of an employer’s fringe benefits in the most effective way, it is important for employees to understand how common fringe benefits are considered for taxation purposes.Taxable Fringe BenefitsAny fringe benefit ...
A: Net operating income (NOI) determines an entity's or property's revenue less all necessary operating expenses. NOI does not take into account interest, taxes, capital expenditures, depreciation and amortization expenses. Conversely, earnings before interest and taxes (EBIT) consists of revenues less expenses, excluding tax and interest, but takes into account depreciation and amor...
A: Tax brackets refer to the table created when matching filing statuses with their corresponding tax rates. There are three components of a tax bracket: filing status, tax rate, and income range. Tax rates are shown on the Y-axis and filing statuses are shown on the X-axis. The amount of income taxed at a specific rate for a specific income amount is found in the body of the tax bracket. Eac...
A: Anyone who operates a business as a sole proprietor must fill out Schedule C when filing his or her annual tax return. IRS form Schedule C accompanies the main tax return form, 1040, for taxpayers who must report a profit or loss from their business. This schedule asks about the taxpayer’s business name, product or service, business address, accounting method, gross receipts or sales, and cos...
