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Exercise 3-21 (Algorithmic) (LO. 7) In 2020, Simon, age 12, has interest income of $5,940 on funds he inherited from his grandmother, and no earned

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Exercise 3-21 (Algorithmic) (LO. 7) In 2020, Simon, age 12, has interest income of $5,940 on funds he inherited from his grandmother, and no earned income. He has no investment expenses. His parents have taxable income of $82,250 and file a joint return. Assume that no parental election is made. Click here to access the 2020 tax rate schedule. If required, round the tax computations to the nearest dollar. Simon's net unearned income is 4,740 X Simon's allocable parental tax is 844.8 X Simon's total tax is 954.8 X of the amount over- $ 0 14,100 53,700 85,500 163,300 207,350 2020 Tax Rate Schedules Single-Schedule X Head of household-Schedule Z If taxable of the If taxable Income is: But not amount Income is: But not Over- over The tax is: over Over over- The tax is: $ 0 $ 9,875 ........ 10% $ 0 $ 0 $ 14,100 ...10% 9.875 40,125 $ 987.50 + 12% 9,875 14,100 53,700 $ 1,410.00 + 12% 40,125 85,525 4,617.50 + 22% 40,125 53,700 85,500 6,162.00 +22% 85,525 163,300 14,605.50 +24% 85,525 85,500 163,300 13,158.00 +24% 163,300 207,350 33,271.50 + 32% 163,300 163,300 207,350 31,830.00 + 32% 207,350 518,400 47,367.50 + 35% 207,350 207,350 518,400 45,926.00 + 35% 518,400 156,235.00+ 37% 518,400 518,400 154,793.50 + 37% Married filing jointly or Qualifying widow(er) - Married filing separately--Schedule Y-2 Schedule Y-1 If taxable of the If taxable income is: But not amount income is: But not Over over The tax is: Over Over over The tax is: S 0 $ 19,750 ...10% $ 0 S 0 $ 9,875 .. 10% 19.750 80,250 $ 1,975.00+ 12% 19,750 9.875 40,125 $ 987.50 + 12% 80,250 171,050 9.235.00 + 22% 80,250 40.125 85,525 4,617.50 +2296 171.050 326,600 29,211.00 + 24% 171,050 85,525 163,300 14,605.50 +24% 326,600 414,700 66,543.00+ 32% 326,600 163,300 207,350 33.271.50 + 32% 414,700 622,050 94,735.00+ 35% 414,700 207.350 311,025 47,367.50 + 35% 622,050 167,307.50.37% 622,050 311,025 83,653.75 +37% 518,400 of the amount over $ 0 9,875 40,125 85,525 163,300 207,350 311,025

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