d$.$ Determine Heather's federal Income taxes due or payable. Use Tax Rate Schedule, Dividends and Capital Gains Tax Rates.$)$ for

reference.

Note: Round your Intermedlate computations and final answer to the nearest whole dollar amount. Required Information

Comprehensive Problem $8-84($LO $8-1,$ LO $8-2,$ LO $8-3,$ LO $8-4,$ LO $8-5)($Algo$)$

$[$The following information applles to the questions displayed below.$]$

Reba Dixon is a fifth$-$grade school teacher who earned a salary of $$37,720$ in $2023.$ She is $45$ years old and recelves

$$1,200$ of alimony payments each month from her former husband $($divorced in $2016).$ Reba also rents out a small

apartment bullding. This year Reba recelved $$51,400$ of rental payments from tenants, and she incurred $$19,500$ of

expenses assoclated with the rental.

Reba and her daughter Heather $(20$ years old at the end of the year$)$ moved to Georgla In January of this year. Reba

provides more than one$-$half of Heather's support. They had been Ilving in Colorado for the past $15$ years, but ever since

her divorce, Reba has been wanting to move back to Georgla to be closer to her family. Luckily, last December, a teaching

position opened up and Reba and Heather decided to make the move. Reba paid a moving company $$2,150$ to move their

personal belongings, and she and Heather spent two days driving the $1,500$ miles to Georgla.

Reba rented a home in Georgla. Heather decided to continue IIving at home with her mom, but she started attending

school full time in January and throughout the rest of the year at a nearby university. She was awarded a $$3,210$ partial

tultion scholarship this year, and Reba helped out by paying the remaining $$500$ tultion cost. If possible, Reba thought it

would be best to clalm the education credlt for these expenses.

Reba wasn't sure If she would have enough items to help her benefit from Itemizing on her tax return. However, she kept

track of several expenses this year that she thought might qualify if she was able to Itemize. Reba paid $$6,868$ in state

income taxes and $$13,410$ in charitable contributions during the year. She also pald the following medical$-$related expenses

for herself and Heather:

Shortly after the move, Reba got distracted while driving and ran into a street sign. The accident caused $$970$ in damage

to the car and gave her whiplash. Because the repairs were less than her Insurance deductible, she paid the entire cost of

the repairs. Reba wasn't able to work for two months after the accident. Fortunately, she recelved $$2,000$ from her

disability Insurance. Her employer, the Central Georgla School District, paid $60$ percent of the premiums on the pollcy as a

nontaxable fringe benefit, and Reba pald the remalning $40$ percent portion.

A few years ago, Reba acquired several Investments with her portion of the divorce settlement. This year she reported the

following Income from her Investments: $$2,200$ of Interest Income from corporate bonds and $$1,640$ interest income from

City of Denver municipal bonds. Overall, Reba's stock portfollo appreclated by $$12,860,$ but she did not sell any of her

stocks.

Heather reported $$6,300$ of Interest Income from corporate bonds she recelved as glfts from her father over the last

several years. This was Heather's only source of Income for the year.

Reba had $$10,720$ of federal Income taxes withheld by her employer. Heather made $$1,070$ of estimated tax payments

during the year. Reba did not make any estimated payments.