Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Angelena files as the head of the household. In 2022, she reported $56,800 of taxable income, including a $10,000 qualified dividend. What is her gross

Angelena files as the head of the household. In 2022, she reported $56,800 of taxable income, including a $10,000 qualified dividend. What is her gross tax liability?

Tax Rates for Net Capital Gains and Qualified Dividends

Rate* Taxable Income
Married Filing Jointly Married Filing Separately Single Head of Household Trusts and Estates
0% $0 - $83,350 $0 - $41,675 $0 - $41,675 $0 - $55,800 $0 - $2,800
15% $83,351 - $517,200 $41,676 - $258,600 $41,676 - $459,750 $55,801 - $488,500 $2,801 - $13,700
20% $517,201+ $258,601+ $459,751+ $488,501+ $13,701+

*This rate applies to the net capital gains and qualified dividends that fall within the range of taxable income specified in the table (net capital gains and qualified dividends are included in taxable income last for this purpose).

Schedule Z-Head of Household

If taxable income is over: But not over: The tax is:
$ 0 $ 14,650 10% of taxable income
$ 14,650 $ 55,900 $1,465 plus 12% of the excess over $14,650
$ 55,900 $ 89,050 $6,415 plus 22% of the excess over $55,900
$ 89,050 $ 170,050 $13,708 plus 24% of the excess over $89,050
$ 170,050 $ 215,950 $33,148 plus 32% of the excess over $170,050
$ 215,950 $ 539,900 $47,836 plus 35% of the excess over $215,950
$ 539,900 $161,218.50 plus 37% of the excess over $539,900

Note: Round your answer to the nearest whole dollar amount.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions