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Demarco and Janine Jackson have been married for 2 0 years and have four children ( no children under age 6 at yearend ) who

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Demarco and Janine Jackson have been married for 20 years and have four children (no children under age 6 at yearend) who qualify as their dependents (Damarcus, Jasmine, Michael, and Candice). The couple received salary income of $94,500 and qualified business income of $20,500 from an investment in a partnership, and they sold their home this year. They initially purchased the home three years ago for $252,500 and they sold it for $302,500. The gain on the sale qualified for the exclusion from the sale of a principal residence. The Jacksons incurred $18,600 of itemized deductions, and they had $4,000 withheld from their paychecks for federal taxes. They are also allowed to claim a child tax credit for each of their children. However, because Candice was 18 years of age at year end, the Jacksons may claim a child tax credit for other qualifying dependents for Candice. (Use the tax rate schedules.)
Comprehensive Problem 4-57 Part-a (Algo)
What is the Jacksons' taxable income, and what is their tax liability or (refund)?
Note: Do not round intermediate calculations.
Answer is not complete.
\table[[Description,Amount],[(1) Gross income,$,115,000
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