Marsha is 23 years old and single. She cannot be claimed as a dependent by another taxpayer. Marsha earned wages of $18,500 and had $1,500 of federal income tax withholding in tax year 2020. Marsha gave birth to Shelby on November 10, 2020. Marsha paid all the cost of keeping up a home and support for Shelby. Shelby and Marsha are U.S. citizens and have valid Social Security numbers. Marsha filed Single with no dependents on her 2019 tax return and received a $1,200 Economic Impact Payment in May 2020. 3. Marsha is not required to file a return, but should file a return to claim a refund of her federal income tax withholding. True False

Marsha is 23 years old and single. She cannot be claimed as a dependent by another taxpayer. Marsha earned wages of $18,500 and had $1,500 of federal income tax withholding in tax year 2020. Marsha gave birth to Shelby on November 10, 2020. Marsha paid all the cost of keeping up a home and support for Shelby. Shelby and Marsha are U.S. citizens and have valid Social Security numbers. Marsha filed Single with no dependents on her 2019 tax return and received a $1,200 Economic Impact Payment in May 2020. 3. Marsha is not required to file a return, but should file a return to claim a refund of her federal income tax withholding. True False

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Juanita is a single and is self-employed. Juanita owed $1,300 in taxes on her 2019 return andexpects her taxes to be the same for 2020. Which of the following statements is correct?Select one:a. Juanita will not be required to pay estimated tax payments for 2020.b. Juanita will not be subject to self-employment tax.c. Juanita should take out a loan to pay her 2020 taxes when she files the return.d. Juanita should make estimated tax payments to avoid an underpayment penalty.
John and Marsha are married and live in AZ. They do not have a prenuptual agreement. There house is titled as community property. They purchased their house after marriage for $300,000. John died this year and the value of the house at the date of death was $481,486. What is Marsha's tax basis in the house?.
Ethel and Cletus are married but have been not speaking to each other for 6 months. Cletus moved out of their house in November of 2022. Although Ethel's CPA has advised her to file as married filing jointly on her 2022 tax return, she refuses to communicate with Cletus to accomplish the filing. So, she files her return as married filing separate and includes the following information on her tax return. Her CPA sent a copy to Cletus to help him in filing his return. Cletus has $50,000 in wages and only $3,500 in itemized deductions. What is Cletus's taxable income for 2022? Ethel's Tax Information: Gross Income For AGI deductions: AGI From AGI deductions: Itemized deductions Taxable income Ethel): $80,000 30.000 $50,000 7.000 $43.000 a. $24,100 b. $30,600 c. $37,050 d. $46,500
eremy (unmarried) earned $100, 500 in salary and $6,050 in interest income during the year. Jeremy's employer withheld $10,000 of federal income taxes from Jeremy's paychecks during the year. Jeremy has one qualifying dependent child (age 14) who lives with him. Jeremy qualifies to file as head of household and has $24,000 in itemized deductions. (Use the tax rate schedules, Tax rates for Net Capital Gains and Qualified Dividends.) Required: Determine Jeremy's tax refund or taxes due. Assume that in addition to the original facts, Jeremy has a long-term capital gain of $4, 040. What is Jeremy's tax refund or tax due including the tax on the capital gain? Assume the original facts except that Jeremy has only $ 7,050 in itemized deductions. What is Jeremy's tax refund or tax due?
Bert Baker and Ernestine Moffet were never formally married but have lived together as husband and wife for the last 14 years. Bert and Ernestine reside in Washington, D.C., a jurisdiction that recognizes common law marriages as valid. Consequently, they filed both a joint district income tax return and a joint federal income tax return for the last eight years. Bert and Ernestine are planning to move their household to Frederick, Maryland, and become permanent residents of that state. Maryland doesn’t recognize common law marriages. Will Bert and Ernestine’s change in residence allow them to avoid the marriage penalty by filing as single individuals?
Karen Most has a federal tax levy of $2,100.50 against her. If Most is single with two personal exemptions and had a take-home pay of $499.00 this week, how much would her employer take from her to satisfy part of the tax levy?
Tom Brown is 36 years old and has never been married. Frank, age 13, is Tom1s nephew who lived with hin all year. Tom provided all of his support and provifded over half the cost of keeping up the home. Tom earned 44,000 in wages Tom is legally blind and cannot be claiment as a dependent by another taxpayer. Tom and Frank are U.S citizens, have valid social securities numbers, and lived in the U.S. the entire year. Do the individual income tax return? If need to use a state use mississippi
savita
Steve and Stephanie Pratt purchased a home in Spokane, Washington, for $400,000. They moved into the home on February 1 of year 1. They lived in the home as their primary residence until November 1 of year 1, when they sold the home for $500,000. The Pratts' marginal ordinary tax rate is 35 percent. (Leave no answer blank. Enter zero if applicable.) b. Assume the Pratts sell the home because Stephanie's employer transfers her to an office in Utah. How much gain will the Pratts recognize on their home sale? Recognized gain
Paul and Maggie are married and want to file a joint return. Maggie is a U.S. citizen and has a valid Social Security number. Paul is a residentalien and has an ITIN. They resided in the United States all year with their children. Paul and Maggie have two children, Cheryl, age 4, and Mike, age 15. Cheryl and Mikeare U.S. citizens and have valid Social Security numbers. Paul earned $18,000 in wages. Maggie earned $20,000 in wages. In order to work, the Thomas's paid child and dependent care expenses of $3,500 fortheir daughter Cheryl to attend Busy Bee Child Care. Paul and Maggie provided all of the support for their two children. Paul and Maggie declined to receive advance payments for the Child Tax Credit. 5. How much of the child care expenses paid to Busy Bee Day Care are used tocalculate the refundable child and dependent care credit? $___________(Do not enter dollar signs, commas, periods, or decimal points in your answer.)
Niles and Marsha adopted an infant boy (a US. citizen). They paid $19,250 in 2017 for adoption-related expenses. The adoption was finalized in early 2018. Marsha received $3,950 of employer-provided adoption benefits. For question (a), assume that any adoption credit is not limited by modified AGI or by the amount of tax liability. a. What amount of adoption credit, if any, can Niles and Marsha take in 2018? b. Using the information in question (a), assume that their modified AGI was $242,000 in 2018. What amount of adoption credit is allowed in 2018? (Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount.) a. Amount of adoption credit b. Amount of adoption credit
Jeff is a single taxpayer who sold his home when he was transferred from NY to Denver by hisemployer. He purchased the home on January 10, 2013. He was sent by his company for temporaryassignment to Detroit on February 1, 2016, that lasted for longer and was gone for 16 months in2016 and 2017, during which time he rented out his home. He moved back into the home on June 3,2017. He sold the home on March 15, 2020. Jeff can claim an exclusion of gain on the sale up to:Select one:a. $500,000b. $300,000c. $250,000d. $0