Taylor, age 18, is claimed as a dependent by her parents. For 2023, she has the following income: $6,250 wages from a summer job, $800 interest from a money market account, and $300 interest from City of Chicago bonds.   a.   Determine the following: Taylor's standard deduction for 2023 is  Taylor's taxable income for 2023 is    b.  Compute Taylor's "net unearned income" for the purpose of the kiddie tax. Compute Taylor's income tax. [Her parents file a joint return and have taxable income of $135,000 (no dividends or capital gains).

SWFT Individual Income Taxes
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ISBN:9780357391365
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Chapter3: Tax Formula And Tax Determination; An Overview Of property Transactions
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Taylor, age 18, is claimed as a dependent by her parents. For 2023, she has the following income: $6,250 wages from a summer job, $800 interest from a money market account, and $300 interest from City of Chicago bonds.

 

a.   Determine the following:
Taylor's standard deduction for 2023 is 

Taylor's taxable income for 2023 is 

 

b.  Compute Taylor's "net unearned income" for the purpose of the kiddie tax.

Compute Taylor's income tax. [Her parents file a joint return and have taxable income of $135,000 (no dividends or capital gains).

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