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Elle and Emmett are a married couple. They have two children, aged 1 4 and 1 1 . Elle is a successful lawyer employed by
Elle and Emmett are a married couple. They have two children, aged and
Elle is a successful lawyer employed by a law firm, and her annual salary is $ The law firm provides all of its employees with free medical and dental insurance coverage. The cost of the medical and dental insurance policies is $ per year. The law firm offers its employees with k retirement plans, and Elle chooses to contribute $ to her retirement plan this year. The law firm matches Elle's contributions dollarfordollar. Elle's federal tax withholding was $ for the current year. Elle, along with other associates reaching years of service with the firm, was given a plaque worth $ as well as a $ cash bonus.
Emmett suffered an injury at work last year. As such, for the first four months of the year, Emmett collected worker's compensation in the amount of $ Not wishing to return to his job, Emmett started a business partnership with his friend once he was fully recovered. The partnership had $ in revenue and $ in expenses this year. Emmet is a partner in the partnership, and the partnership distributed $ of cash to Emmett this year.
The oldest child is from Elle's first marriage. Elle's ex still pays child support in the amount of $ per year, but this is the only payment made between the two former spouses under the terms of the divorce decree. The divorce was finalized in
The couple received interest income of $ from a savings account, $ from a US Treasury bond, and $ from a bond issued the state government. Also during the year, Emmett won $ on the blackjack table during a trip to the casino.
The couple purchased shares of Tesla stock for $ per share. At the end of the year, the stock was trading at $ per share. The couple still holds all shares at the end of the year.
Deductions for AGI, which include the deduction for selfemployment tax, total $ The total other tax liability for which is related to selfemployment tax, is $ Itemized deductions including the cost of the blackjack bets made by Emmett at the casino total $ for the current year. Recall that the standard deduction for married filing jointly taxpayers in is $ Elle and Emmett are not eligible for any tax credits this year.
Calculate the following: amounts of gross income, adjusted gross income, taxable income, tax liability, and tax duerefund for the current year. You should also list out separately all items of exclusion and deferral from gross income You must use the individual income tax formula format.
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