ew History Bookmarks Window Help Score: 0 of 5 pts 16 of 20 (19 complete) 8.2.17

Question

ew History Bookmarks Window Help Score: 0 of 5 pts 16 of 20 (19 complete) 8.2.17 ath Use the 2012 marginal tax rates to compute the tax owed by the following person. Round taxable income to the nearest dollar as n an unmarried head of household with two dependent children Gross income: $62,000 Deductions: S3895 state taxes $1000 theft loss Tax credit: $2000 Adjustments: none Click the jcon to view the 2012 marginal tax rates. The income tax owed is $ (Round to the nearest doliar as needed.) a Lbrary se Options MacBook A 2 5 Q W E

Explanation / Answer

Answer

W.N. 1

First $12,400 @10% =$1240

Next $29,500 @15% =$4425

Total                        =$5665

W.N. 2

A.

The greater of itemized deductions, viz., Theft loss and State Taxes, is less than the Standard Deduction of $ 8,700 allowed for Head of Household. So, $ 8,700 is the Deduction.

B.

The taxpayer gets one for themselves if nobody else can claim them, one for their spouse if the status is "Married filing jointly" and one for each dependent they claim.

Particulars Amount Gross Income $62000 Less: Standard Deduction ($8700) Less: Exemptions (3800*3 person) ($11400) Taxable income $41900 Marginal Tax (w.n.1) $5665 Tax Credit ($4000) The Net Tax Liability $1665

Related Questions

Navigate

• Browse (All)
• Browse E
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.