Hi,

Can someone help me to calculate the payroll taxes for a Single , who is a student with allowances 2 on his W4 and he is paid Semi monthly. He is from Texas.

Below is what I have calculated the taxes from PUB15 T page 15.

Is this calculation right? How often should the payroll tax be given to IRS? Monthly or Quartely?

Pay date gross amount Federal Tax withholding Net amount Payment to IRS

15.Jun.09 750.00 15.00 735.00
30.Jun.09 750.00 15.00 735.00
15.Jul.09 750.00 15.00 735.00
31.Jul.09 750.00 15.00 735.00
15.Aug.09 750.00 15.00 735.00
31.Aug.09 750.00 15.00 735.00
15.Sep.09 1000.00 51.00 949.00

Thanks in advance.

AtlantaTaxExpert

Looks okay to me. The amount withheld for federal income taxes ($15 per 15-day pay period) IS sufficient to cover his federal tax liability on $18,000 annual pay.

Trishala Raj

Thankyou :-)

MukatA

Is the individual an International student or a U.S. person? For an international student $15 per 15 days may not be sufficient; depends upon the itemized deduction and treaty deduction.

Trishala Raj

He is a student from India and on F1 visa. Then how do I calculate the withholding?

Thanks.

AtlantaTaxExpert

The $15 per 15 day withholding is STILL sufficient, because an Indian student can claim the standard deduction under the U.S.-India tax treaty, so his return on Form 1040NR-EZ is essentually the same as a U.S. person who files Form 1040EZ.

Trishala Raj

Thanks. I appreciate your response :-)

AtlantaTaxExpert

Glad to help!