Auggie and Judy Reynolds are married and file a joint return. They have no children. Auggie is 67 and Judy is 61 They contribute over half of the support for Judys mother, Cora (age 85). Cora earned $675 in interest in 2021 and received $4,850 in social security benefits as her only income. Cora lives in an apartment above the Reynolds garage and does not pay any of her own expenses.

Auggie earned a salary of $75,650 in 2021 from his job at Korma Corp. Judy worked part-time and earned $28,720. They also received the following:

Life insurance proceeds $90,000

Inheritance of $64,340

Interest on State of Virginia bonds $340 used to finance state budgets

Dividends on stock of a Swiss corporation $725

Interest on certificates of deposit $74

If the Reynolds have itemized deductions of $25,610 what is their taxable income for 2021.