Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hello, my name is Iron Man. Thanks for volunteering to help me with my taxes for this year. My business manager says we should start

Hello, my name is Iron Man. Thanks for volunteering to help me with my taxes for this year. My business manager says we should start with my Gross Income whatever that means. I have had a pretty good year so I am excited to see what my tax return looks like. I got a promotion to manager for Thanos Infinity Chips Inc. in January. I earned $78,000 in base salary this year. I get a lot of fringe benefits like all the Infinity Chips I can eat, although I cant really eat a whole lot. As part of my manager duties, I get to decide on certain things like contracts for the company. My good buddy, Spiderman, runs an advertising and design company. I made sure that he won the new logo design contract for the new packaging for the Infinity Chips for this year (even though his offer wasnt quite the best). Spiderman bought me a gift of a new mega mega computer this year for being such a good friend. The computer cost $63,000. Heres another bit of good luck for the year. I purchased a computer case at a local resale store. When I was putting my computer in it I found an envelope with $18,000 inside. What a great day.I also like to gamble a lot. I won $13,000 in a Juggernaut tournament in Rawanda this year. I also won about 4,200 over the year at our Friday night Liars Poker games. Unfortunately, I lost $10,000 in the office March Madness Deadpool and another $3,500 on my fantasy Limbo league. Still my winnings were better than my losing. Even though it was a pretty good year I did have a few setbacks. My Great Uncle, Captain America, died this year. He was my favorite uncle (he was my only uncle). He left me $950,000 in cash and $60,000 worth of stock in his will. I invested some of the cash in stocks and bonds and put the rest into my savings account. As a result, I received $5,500 in dividends from the stock, $1.600 in interest from the municipal bonds, and $2,500 in interest from my savings account.I did have one last bit of bad news this year, my boss told me on December 12 that they were laying me off from the company. They gave me a $20,000 severance check on December 15. I decided to hold on to that check and not cash it until next year, so I wont have to pay taxes on it this year. Pretty smart, huh? And I was able to collect $2,550 in unemployment compensation. Finally, my ex-wife, Pepper, is still paying me alimony. Shes a physicist who divorced me in 2013 because I was not working at the time. Since she was making so much money, and I was unemployed at the time, the judge ruled that she had to pay ME alimony. She sent me $10,000 in alimony payments this year. She must still kind of like me, though. She sent me a check for $900 for Christmas this year. I forgot to get her anything, though.Thanks for all your help cant wait to see what you come up with.

Please solve for gross income followed by the 2019 tax bracket schedule:

Gross Income:

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Internet Supply Chain Impact On Accounting And Logistics

Authors: D. Chorafas

5th Edition

0333949633, 9780333949634

More Books

Students also viewed these Accounting questions