USE THE TAX CHART BELOW TO ANSWER THEFOLLOWING QUESTION:Calculate the annual tax liability for a single person earning$120,000 per year.(for taxes due in April 2020)Married,filingseparatelySo to S9,700Married, filingjointlyHead ofTax rate SinglehouseholdSo to S9,900So to S19,400So to $13,85010%12%$9,901 toS39,500$19,401 to $78,950$9,701 to$13,851 to$52,850S39,475$78,951 to S168,400$52,851 toS84,20022%$39,501 toS84,200$39,476 toS84,20024%S84,201 toS160,725S160,726 toS204,100S168,401 toS84,201 toS84,201 to$321,450S160,725$160,700$160,701 to$204,10032%$321,451 to$408,200S160,726 toS204,100S204,101 to$306,175$204,101 to$510,30035%S204,101 to$510,300$408,201 toS612,35037%$510,301 or$612,351 or moreS306,176 or$510,301 ormoremoremoreWhat other taxes do individuals pay? What other taxes do individuals pay?What is meant by "payroll taxes" and who pays payroll taxes?List the changes made by the U.S. Tax Cuts and Jobs Act of2017

The rate of tax in US is graduated which implies the tax rates will be higher on amounts of income…

USE THE TAX CHART BELOW TO ANSWER THE FOLLOWING QUESTION: Calculate the annual tax liability for a single person earning $120,000 per year. (for taxes due in April 2020) Married, filing separately So to S9,700 Head of Tax rate Single Married, filing jointly household 10% S0o to $9,900 S0 to S19,400 S0 to $13,850 12% $9,901 to $39,500 S13,851 to $19,401 to $78,950 $9,701 to S39,475 $52,850 $78,951 to S168,400 $39,476 to S84,200 $84,201 to S160,725 S160,726 to S204,100 $52,851 to $84,200 $84,201 to S160,700 22% $39,501 to S84,200 S84,201 to S168,401 to $321,450 $321,451 to $408,200 24% S160,725 32% S160,726 to S204,100 S160,701 to $204,100 S204, 101 to S510,300 S510,301 or 35% S204,101 to S510,300 $510,301 or S408,201 to S612,350 $612,351 or more S204,101 to S306,175 37% S306,176 or more more more

USE THE TAX CHART BELOW TO ANSWER THE FOLLOWING QUESTION: Calculate the annual tax liability for a single person earning $120,000 per year. (for taxes due in April 2020) Married, filing separately So to S9,700 Head of Tax rate Single Married, filing jointly household 10% S0o to $9,900 S0 to S19,400 S0 to $13,850 12% $9,901 to $39,500 S13,851 to $19,401 to $78,950 $9,701 to S39,475 $52,850 $78,951 to S168,400 $39,476 to S84,200 $84,201 to S160,725 S160,726 to S204,100 $52,851 to $84,200 $84,201 to S160,700 22% $39,501 to S84,200 S84,201 to S168,401 to $321,450 $321,451 to $408,200 24% S160,725 32% S160,726 to S204,100 S160,701 to $204,100 S204, 101 to S510,300 S510,301 or 35% S204,101 to S510,300 $510,301 or S408,201 to S612,350 $612,351 or more S204,101 to S306,175 37% S306,176 or more more more

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter12: Alternative Minimum Tax

Section: Chapter Questions

Problem 19CE

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Lisa records nonrefundable Federal income tax credits of 65,000 for the year. Her regular income tax liability before credits is 190,000, and her TMT is 150,000. a. What is Lisas AMT? b. What is Lisas regular income tax liability after credits?
Compute the 2019 standard deduction for the following taxpayers. a. Ellie is 15 and claimed as a dependent by her parents. She has 800 in dividends income and 1,400 in wages from a part-time job. b. Ruby and Woody are married and file a joint tax return. Ruby is age 66, and Woody is 69. Their taxable retirement income is 10,000. c. Shonda is age 68 and single. She is claimed by her daughter as a dependent. Her earned income is 500, and her interest income is 125. d. Frazier, age 55, is married but is filing a separate return. His wife itemizes her deductions.
Arthur Wesson, an unmarried individual who is age 68, reports taxable income of 510,000 in 2019. He records positive AMT adjustments of 80,000 and preferences of 35,000. Arthur itemizes his deductions, and his regular tax liability in 2019 is 153,694. a. What is Arthurs AMT? b. What is the total amount of Arthurs tax liability? c. Draft a letter to Arthur explaining why he must pay more than the regular income tax liability. Arthurs address is 100 Colonels Way, Conway, SC 29526.
Calculating taxes on security transactions. If Julia Diaz is single and in the 24 percent tax bracket, calculate the tax impact of each of the following security transactions. (Use the IRS regulations for capital gains in effect in 2018.) Treat each of the following cases as independent of the others. a. She sold stock for 1,200 that she purchased for 1,000 5 months earlier. b. She sold bonds for 4,000 that she purchased for 3,000 3 years earlier. c. She sold stock for 1,000 that she purchased for 1,500 15 months earlier.
In each of the following problems, identify the tax issue(s) posed by the facts presented. Determine the possible tax consequences of each issue that you identify. Ariel has worked for Sander Corporation for 30 years. Sander has a pension plan in which it matches employee contributions by up to 5 percent of the employees salary. Ariel, who is single, retires during the current year when she is 66 years old. Her pension plan contains payments and earnings of 300,000, half of which are attributable to payments made by Ariel and half attributable to payments made by Sander. Under the plan, Ariel is to receive 2,000 per month until she dies.
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