Cailey and Dimitri are married and file a joint tax return. Cailey has $170,000 in salary and Dimitri has $210,000 in self-employment income in 2018. How much must they pay on their individual tax return for their Medicare surtax?

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Quizplus · Accepted Answer

The Medicare surtax is 0.9% of the lesser of self-employment income or one-half of combined wages, salaries, tips, plus self-employment income. In this case, the lesser of the two is $210,000 (Dimitri's self-employment income). Therefore, the Medicare surtax is 0.9% of $210,000, which is $1,890. Since Cailey and Dimitri are filing a joint return, they will each pay half of the surtax, which is $1,170.

Cailey and Dimitri Are Married and File a Joint Tax