Melba receives most of her income from wages from her job as a high school teacher. She also receives supplemental income from freelance tutoring part-time during the summer. Because her tutoring income is not subject to withholding, Melba is concerned that she will have a balance due at the end of the year. Which of the following is an option you can recommend to Melba to avoid a balance due?

A) Decrease her withholding allowances by submitting Form W-4 to her employer.

B) Claim an exemption from withholding.

C) Send a notarized letter to her employer requesting that they withhold additional amounts from her pay each month.

D) Investigate whether she qualifies to classify her tutoring income as a hobby rather than as business income.

Question

Elaine Farley

Business

3 July, 11:02

Melba receives most of her income from wages from her job as a high school teacher. She also receives supplemental income from freelance tutoring part-time during the summer. Because her tutoring income is not subject to withholding, Melba is concerned that she will have a balance due at the end of the year. Which of the following is an option you can recommend to Melba to avoid a balance due?

A) Decrease her withholding allowances by submitting Form W-4 to her employer.

B) Claim an exemption from withholding.

C) Send a notarized letter to her employer requesting that they withhold additional amounts from her pay each month.

D) Investigate whether she qualifies to classify her tutoring income as a hobby rather than as business income.

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Answers (1)

Know the Answer?

Franklin Watson · Answer 1

Send a notarised letter to her employer requesting that they withhold additional amounts from her pay each month.

Option C

Explanation:

A certificate approved by a notary public is a notarised text. The notary public is a public officer who confirms the identity of everyone who signs the document, observes the signatures and seals the document.

If at the flat rate or the low marital rate they withhold.

Many deductions are claimed: any gain they claim decreases the amount deducted. In the case of a further refund: you will petition for a further amount of each paycheck that is withheld.