Alex and Addison are married and have the following income items: Alex’s salary $ 58,250 Addison’s Schedule C net profit 41,900 Interest income 1,450 Addison’s self-employment tax was $5,920. Addison's Schedule C net business profit is qualified business income (non-service). The couple has $8,370 itemized deductions and no children or other dependents. Required: Compute their income tax on a joint return. Assume the taxable year is 2024. Use Individual Tax Rate Schedules and Standard Deduction Table. Note: Round your intermediate calculations and final answers to the nearest whole dollar amount.

Alex and Addison are married and have the following income items: Alex’s salary $ 58,250 Addison’s Schedule C net profit 41,900 Interest income 1,450 Addison’s self-employment tax was $5,920. Addison's Schedule C net business profit is qualified business income (non-service). The couple has $8,370 itemized deductions and no children or other dependents. Required: Compute their income tax on a joint return. Assume the taxable year is 2024. Use Individual Tax Rate Schedules and Standard Deduction Table. Note: Round your intermediate calculations and final answers to the nearest whole dollar amount.

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter8: Taxation Of Individuals

Section: Chapter Questions

Problem 29P: Arthur and Cora are married and have 2 dependent children. They have a gross income of 95,000. Their...

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Alex’s salary	$ 58,250
Addison’s Schedule C net profit	41,900
Interest income	1,450

Required:

Compute their income tax on a joint return. Assume the taxable year is 2024. Use Individual Tax Rate Schedules and Standard Deduction Table.

Note: Round your intermediate calculations and final answers to the nearest whole dollar amount.

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