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It's mid-December and Marie is finalizing her divorce. Generally, she and her soon to be ex-spouse have been amicable, and Marie is looking forward
It's mid-December and Marie is finalizing her divorce. Generally, she and her soon to be ex-spouse have been amicable, and Marie is looking forward to being single. The divorce attorneys will be ready to complete the proceedings before December 31, but Marie is concerned about tax implications. Marie has asked for your help in determining whether to wait until the beginning of next year in order to minimize taxes. The couple has two children and expect each will take custody of one child maintaining their own households. Marie's taxable income is $90,000 while he soon-to-be ex-spouse's taxable income is $40,000. Ignore any tax credits in your analysis. Required: 1. Complete the "The tax is:" column for each filing status table using a formula 2. Prepare a comparison for Marie using VLOOKUP formulas to the 2022 tax brackets. (HINT: Use the TRUE logical value) If taxable income is over: $ $ $ $ $ $ $ $ - S 10,275.00 S 41,775.00 S 89,075.00 $ If taxable income is over: $ $ $ $ $ 170,050.00 $ 215,950.00 $ 539,900.00 $ -5 20,550.00 $ 83,550.00 $ 178,150.00 $ 340,100.00 $ 431,900.00 $ 647,850.00 $ Option 1 Filing Status: Taxable income: If taxable income is over: But not over: The tax is: Plus tax percentage: Plus tax amount: Total Tax: Grand Total Tax: F Schedule Y-1-Married Filing Jointly or Qualifying Widow(er) S $ Schedule X-Single But not over: 10,275.00 $ 41.775.00 89,075.00 170,050.00 215,950.00 539,900.00 But not over: 20,550.00 $ 83,550.00 178,150.00 340,100.00 431,900.00 647,850.00 Marie The tax is: 90,000 $ The tax is: Ex-Spouse 40,000 Plus: Plus: 10% 12% 22% 24% 32% 35% 37% 10% 12% 22% 24% 32% 35% 37% If taxable income is over: $ $ $ S $ $ $ If taxable income is over: $ $ $ S $ S $ 14,650.00 $ 55,900.00 $ 89,050.00 S 170,050.00 S 215,950.00 5 539,900.00 $ $ $ 10,275.00 $ 41,775.00 $ 89,075.00 S 170,050.00 $ 215,950.00 S 323,925.00 $ Option 2 Filing Status: Taxable income: if taxable income is over: But not over: The tax is: Plus tax percentage: Plus tax amount: Total Tax: P Schedule Z-Head of Household But not over: 14,650.00 $ 55,900.00 89,050.00 170,050.00 215,950.00 539,900.00 Schedule Y-2-Married Filing Separately But not over: 10,275.00 S 41,775.00 89,075.00 170,050.00 215,950.00 323,925.00 The tax is: Marie & Ex-Spouse The tax is: Plus: Plus: 10% 12% 22% 24% 32% 35% 37% 10% 12% 22% 24% 32% 35% 37%
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Answer 1 Schedule X Single If taxable income is over But not over The tax is Plus 1027500 10 1027500 4177500 102750 12 4177500 8907500 480750 22 8907500 17005000 1521350 24 17005000 21595000 3464750 3...Get Instant Access to Expert-Tailored Solutions
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