Gary and Wendy are married and file a joint tax return claiming their seven children, ages 6, 8, 10, 12, 14, 16 and 18, as dependents. They pay Susan Smith $18,000 per year to care for their children after school and provide some house cleaning (you can ignore household employment taxes). Information for 2017 includes the following:

AGI including Gary's earned income of $160,000 and Wendy's earned income of $35,000

$200,000

Federal income taxes (all paid in 2017)

26,000

State and local income taxes (all paid in 2017)

14,000

Real estate property taxes

6,200

Home mortgage interest

8,300

Charitable contributions

5,400

Starting with AGI, show each step of the tax formula and calculate taxable income, tax (before credits), child tax credit, child & dependent care credit, total tax credits, total tax (after credits), tax due (refund due).