Question
For 2014, Wilma has properly determined that her taxable income is $36,000, including $3,000 of unrecaptured 1250 gain and $8,200 of 0%/15%/20% gain. Wilma qualifies
For 2014, Wilma has properly determined that her taxable income is $36,000, including $3,000 of unrecaptured 1250 gain and $8,200 of 0%/15%/20% gain. Wilma qualifies for head-of-household filing status.
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a. Are both the $3,000 of unrecaptured 1250 gain and $8,200 of 0%/15%/20% gain subject to the alternative tax computation?
b. Compute Wilma's tax liability and tax savings from the alternative tax on net capital gain. Wilma's tax liability is $ , and the tax saving from the alternative tax computation is $ . (Round your answers to the nearest dollar.)
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