Answered step by step
Verified Expert Solution
Question
1 Approved Answer
FILL IN THE MISSING HIGHLIGHTED YELLOW AREAS. ! USE THE 2 0 2 2 TAX RATE SCHEDULES Required information [ The following information applies to
FILL IN THE MISSING HIGHLIGHTED YELLOW AREAS. USE THE TAX RATE SCHEDULES
Required information
The following information applies to the questions displayed below.
Reba Dixon is a fifthgrade school teacher who eamed a salary of $ in She is years old and has been
divorced for four years. She recelves $ of alimony payments each month from her former husband divorced in
Reba also rents out a small apartment building. This year Reba recelved $ of rental payments from tenants
and she incurred $ of expenses assoclated with the rental.
Reba and her daughter Heather years old at the end of the year moved to Georgla in January of this year. Reba
provides more than onehalf of Heather's support. They had been IVing in Colorado for the past years, but ever since
her divorce, Reba has been wanting to move back to Georgla to be closer to her famlly. Luckily, last December, a teaching
position opened up and Reba and Heather decided to make the move. Reba pald a moving company $ to move thelr
personal belongings, and she and Heather spent two days driving the miles to Georgla.
Reba rented a home in Georgla. Heather decided to continue IIVing at home with her mom, but she started attending
school fulltime in January and throughout the rest of the year at a nearby university. She was awarded a $ partial
tultion scholarship this year, and Reba helped out by paying the remaining $ tultion cost. If possible, Reba thought it
would be best to claim the education credit 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 thls year that she thought might qualify If she was able to itemize. Reba pald $ in state
income taxes and $ in charltable contrlbutions during the year. She also paid the following medicalrelated expenses
for herself and Heather:
Shortly after the move, Reba got distracted while driving and ran Into a street sign. The accident caused $ in damage
to the car and gave her whiplash. Because the repalrs 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 $ from her
disability Insurance. Her employer, the Central Georgla School District, pald percent of the premiums on the policy as a
nontaxable fringe benefit and Reba pald the remaining 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: $ of Interest income from corporate bonds and $ interest income from
Clty of Denver municipal bonds. Overall, Reba's stock portfollo appreclated by $ but she did not sell any of her
stocks.
Heather reported $ 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 $ of federal income taxes withheld by her employer. Heather made $ of estimated tax payments
during the year. Reba did not make any estimated payments.
a Determine Reba's federal Income taxes due or taxes payable for the current year. Use Tax Rate Schedule for reference.
Note: Do not round intermediate values. Round your final answers to the nearest whole dollar amount. Leave no answer blank.
Enter zero if applicable.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started