A taxpayer filing as single has $25,600 of taxable income. Included in gross income is a 1099-int box 1 intrest income of $5,000, tax exempt intrest of $3,00 and interest on US saving bond of $1,200  additionally the taxpayer has a 1099-div wirth dividend income of 3,000 of which 2,000 is qualified dividends and capital gains distributions of $500 is the following statement accurte about this scenario? 1. the taxpayer will be taxed at 0% for $2,500 which includes the qualified dividends and capital gains distributions. 2. the taxable iinterest and dividend items should appear on Schedule B. 3. the interest on the U.S saving bonds may only be taxed on up to 85% of its value.

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter18: Accounting For Income Taxes
Section: Chapter Questions
Problem 2RE: Refer to RE18-1. Assume that Parkers taxable income for Year 1 is 150,000. Prepare the journal entry...
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A taxpayer filing as single has $25,600 of taxable income. Included in gross income is a 1099-int box 1 intrest income of $5,000, tax exempt intrest of $3,00 and interest on US saving bond of $1,200 

additionally the taxpayer has a 1099-div wirth dividend income of 3,000 of which 2,000 is qualified dividends and capital gains distributions of $500

is the following statement accurte about this scenario?

1. the taxpayer will be taxed at 0% for $2,500 which includes the qualified dividends and capital gains distributions.

2. the taxable iinterest and dividend items should appear on Schedule B.

3. the interest on the U.S saving bonds may only be taxed on up to 85% of its value.

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