How are taxable services calculated?

2009 the rate of service tax is 10% on gross value of the taxable service plus 2% Education Cess on the service tax amount and 1% Secondary Higher Education Cess on the service tax amount. Example: Suppose the value of taxable service is Rs. 100. Service tax @10% will be Rs.

Is service tax is a direct tax?

Definition: Service tax is a tax levied by the government on service providers on certain service transactions, but is actually borne by the customers. It is categorized under Indirect Tax and came into existence under the Finance Act, 1994.

What is the Social Security tax rate?

6.2%
The current tax rate for social security is 6.2% for the employer and 6.2% for the employee, or 12.4% total. The current rate for Medicare is 1.45% for the employer and 1.45% for the employee, or 2.9% total.

What is $720 after taxes?

$720 a month after tax is $720 NET salary based on 2021 tax year calculation. $720.00 a month after tax breaks down into $8,640 annually, $165.59 weekly, $33.12 daily, $4.14 hourly NET salary if you’re working 40 hours per week.

How much do you have to pay in Social Security tax?

If your wages are more than $132,900 in 2019, multiply $132,900 by 6.2% to arrive at the amount you and your employer must each pay. Anything you earn over this threshold is exempt from Social Security tax.

How is Social Security tax calculated on Schedule SE?

When you calculate your tax on Schedule SE, it will tell you the total amount of the above-the-line deduction you can claim. The Social Security Tax Wage Base All wages and self-employment income up to the Social Security wage base are subject to the 12.4% Social Security tax. The wage base is adjusted periodically to keep pace with inflation.

How does the income tax calculator calculate my taxes?

Our income tax calculator calculates your federal, state and local taxes based on several key inputs: your household income, location, filing status and number of personal exemptions. Also, we separately calculate the federal income taxes you will owe in the 2020 – 2021 filing season based on the Trump Tax Plan.

How is self-employment tax calculated on Social Security benefits?

If you were self-employed, multiply your earnings up to this limit by 12.4% to calculate the Social Security portion of your self-employment tax. If your wages were more than $137,700 in 2020, multiply $137,700 by 6.2% to arrive at the amount you and your employer must each pay.