KExhibit 3.5 Additional Standard Deduction AmountsFiling StatusSingleMarried, filing jointlySurviving spouseHead of householdMarried, filing separatelyFATIDIL 3.4 Basic Standard Deduction AmountsFiling StatusSingleMarried, filing jointlySurviving spouseHead of householdMarried, filing separately2022$1,7501,4001,4001,7501,4002022Standard Deduction Amount2023$13,85027,70027,70020,80013,850$12,95025,90025,90019,4002023$1,8501,50012,9501,5001,8501,500 Compute the 2023 standard deduction for the following taxpayers.If an amount is zero, enter "0".Click here to access the Exhibits 3.4 and 3.5 to use.a.Ellie is 15 and claimed as a dependent by her parents. She has $775 in dividendsincome and $3,720 in wages from a part-time job.b. Ruby and Woody are married and file a joint tax return. Ruby is age 66, and Woodyis 69. Their taxable retirement income is $15,875.C.Shonda is age 68 and single. She is claimed by her daughter as a dependent. Herearned Income is $300, and her interest income is $245.d. Frazier, age 58, is married but is filing a separate return. His wife itemizes herdeductions.

a. Ellie: As Ellie is a dependent, her standard deduction is the greater of $1,100 or her earned…

Answered: Compute the 2023 standard deduction for…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

Henry files as a single taxpayer. In 2020 his taxable income was $95,525. Using the tax rate schedule in Chapter 3, what is his tax liability for the year? (Be sure to use the 2020 rates. If you don't have the textbook, find the 2020 "tax rate schedule" for single taxpayers online)
L. A. and Paula file as married taxpayers. In August of this year, they received a $5,200 refund of state income taxes that they paid last year. How much of the refund, if any, must L. A. and Paula include in gross income under the following independent scenarios? Assume the standard deduction last year was $25,100. Note: Leave no answer blank. Enter zero if applicable. Required: a. Last year L. A. and Paula had itemized deductions of $19,200, and they chose to claim the standard deduction. b. Last year L. A. and Paula claimed itemized deductions of $31,400. Their itemized deductions included state income taxes paid of $7,500 and no other state or local taxes. c. Last year L. A. and Paula claimed itemized deductions of $27,600. Their itemized deductions included state income taxes paid of $10,500, which were limited to $10,000 due to the cap on state and local tax deductions.
Brian and Kim have a 12-year-old child, Stan. For 2018, Brian and Kim have taxable income of $52,000, and Stan has interest income of $4,500. Click here to access the income tax rate schedules. If Stan’s parents elected to report Stan’s income on his parents’ return, what would the tax on Stan’s income be?$
5 people are possible dependents for Gerald’s tax return, but only 3 qualify. Who are those 3?
Randolph and Tammy own a second home. They spent 45 days there and rented it for 88 days at $150 per day during the year. The total costs relating to the home include the following: Mortgage interest Property taxes Insurance Utilities Repairs Depreciation Required: $ 4,500 1,200 1,800 2,300 1,500 6,500 a. What is the tax treatment of these items relating to second home under Tax Court allocation method? b. What is the tax treatment of these items relating to second home under IRS allocation method? c. Which of the methods is preferred?
Tucker (age 52) and Elizabeth (age 48) are a married couple. Tucker is covered under a qualified retirement plan at his job and earned $90,000 in 20x 4. Elizabeth is employed as a lab technician and earned $30,000 but is not covered under a qualified retirement plan. They file a joint return; have interest and dividend income of $25,000. What is the maximum amount of tax deductible contributions that may be made to a traditional IRA? $12,000 $13,000 50 $6,000
Betty operates a beauty salon as a sole proprietorship. Betty also owns and rents an apartment building. In 2021, Betty had the following income and expenses. You may assume that Betty will owe $2,624 in self-employment tax on her salon income, with $1,312 representing the employer portion of the self-employment tax. You may also assume that her divorce from Rocky was finalized in 2016. Interest income $ 14,975 Salon sales and revenue 88,760 Salaries paid to beauticians 46,550 Beauty salon supplies 23,640 Alimony paid to her ex-husband, Rocky 7,200 Rental revenue from apartment building 35,540 Depreciation on apartment building 14,100 Real estate taxes paid on apartment building 12,060 Real estate taxes paid on personal residence 6,937 Contributions to charity 5,029 a. Determine Betty's AGI. (Amounts to be deducted should be indicated by a minus sign.)
- Required information [The following information applies to the questions displayed below.] Matt and Meg Comer are married and file a joint tax return. They do not have any children. Matt works as a history professor at a local university and earns a salary of $69,100. Meg works part time at the same university. She earns $43,900 a year. The couple does not itemize deductions. Other than salary, the Comers' only other source of income is from the disposition of various capital assets (mostly stocks). (Use the tax rate schedules, Dividends and Capital Gains Tax Rates.) Note: Round your final answers to the nearest whole dollar amount. a. What is the Comers' tax liability for 2023 if they report the following capital gains and losses for the year? Short-term capital gains Short-term capital losses Long-term capital gains Long-term capital losses Total tax liability $ 9,450 (2,450) 15,200 (6,900)
Sharon Jones is single. During 2022, she had gross income of $159,800, deductions for AGI of $5,500, itemized deductions of $14,000 and tax credits of $2,000. Sharon had $22,000 withheld by their employer for federal income tax. She has a tax (due/refund) rounded to the nearest whole dollar of $.
Chris and Heather are engaged and plan to get married. During 2023, Chris is a full-time student and earns $9,400 from a part-time job. With this income, student loans, savings, and nontaxable scholarships, he is self-supporting. For the year, Heather is employed and has wages of $72,600. Click here to access the standard deduction table to use. Click here to access the Tax Rate Schedules. If an amount is zero, enter, "0". Do not round your intermediate computations. Round your final answer to the nearest whole dollar. a. Compute the following: Gross income and AGI Standard deduction (single) Taxable income Income tax Chris Filing Single Heather Filing Single
Joyce Leslie lives with her spouse and 21-year-old blind son, Keith, who qualifies for the disability tax credit. Her spouse had an income of $4,900 in the year. Keith has no income of his own. In 2023, Joyce's taxable income will be $100,000. Required: Determine the total amount of tax credits related to Keith and her spouse that will be available to Joyce.
Kelly and Darryl are married. Kelly is a general partner in a successful fashion designing business. Her share of ordinary income was $119,655. Kelly also works part-time for a paper company. Her W-2 reported $34,862 in wages. Darryl is a successful executive and his W-2 reported $145,000 in wages. a. Calculate Kelly’s self-employment tax. b. Calculate the amount of Additional Medicare Tax that Kelly and Darryl owe based on their income. c. Calculate Kelly and Darryl’s AGI.

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