Joe is president and 75 percent owner of JS Corporation.He takes a salary of $825,000 this year.Presidents of comparable companies are generally paid no more than $500,000.Joe is in the 39.6 percent marginal tax bracket and JS Corporation is in the 34 percent marginal tax bracket.What are the income and FICA tax consequences if $325,000 is determined to be excessive wages by the IRS?

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The Answer of Joe is president and 75 percent owner of JS Corporation.He takes a salary of $825,000 this year.Presidents of comparable companies are generally paid no more than $500,000.Joe is in the 39.6 percent marginal tax bracket and JS Corporation is in the 34 percent marginal tax bracket.What are the income and FICA tax consequences if $325,000 is determined to be excessive wages by the IRS?

Joe Is President and 75 Percent Owner of JS Corporation