Attus Nasos is married with five allowances. He has gross weekly earnings of $1,175. For each withholding allowance, he can deduct $70.19 from his gross earnings. Use the percentage method table to find the amount of weekly federal income tax withheld.
A) $52.96
B) $73.66
C) $70.19
D) $123.60

Question

Attus Nasos is married with five allowances. He has gross weekly earnings of $1,175. For each withholding allowance, he can deduct $70.19 from his gross earnings. Use the percentage method table to find the amount of weekly federal income tax withheld. 
A) $52.96 
B) $73.66 
C) $70.19 
D) $123.60

Quizplus · Accepted Answer

First, we need to calculate the total number of withholding allowances by multiplying the number of allowances by the amount that can be deducted for each allowance: 
5 x $70.19 = $350.95

Next, we calculate the taxable income by subtracting the total allowances from the gross earnings: 
$1,175 - $350.95 = $824.05

Using the percentage method table, we find that for a single taxpayer with weekly taxable income of $824, the amount of federal income tax withheld is $73.66. Therefore, the answer is B.

Attus Nasos Is Married with Five Allowances