- The IRS published Notice 2020-75 on November 10, 2020. The notice addresses an issue caused by the Tax Cuts and Jobs Act. Briefly explain what the issue was and how the notice will solve it?
2.Richard is a resident of Massachusetts with $1,000,000 of part B gross income subject to the Massachusetts personal income tax. Richard is also a shareholder in Multistate Co, an S corporation. As a result of his Multistate Co holdings, Richard is also subject to the 8% personal income tax in state X and the 2% personal income tax in state Y. Of Richard’s $1,000,000 Part B gross income, $400,000 is subject to tax in state X and $100,000 is subject to tax in State Y.
Assuming the Massachusetts tax rate is 5.0%, how much tax will Richard pay to Massachusetts?
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