Jeremy earned $100,000 in salary and $6,000 in interest income during the year, Jeremy has two qualifying dependent children who live with him. He qualifies to file as head of household and has $21,000 in itemized deductions, Neither of his dependents qualifies for the child tax credit. Use the 2021 tax rate schedules to determine Jeremy's taxes due. Description Amount Computation (1) Gross income $106,000 Salary +Interest Income (100,000 + 6,000) (2) For AGI deductions $0 (3) Adjusted gross income $106,000 (1)-(2) (4) Standard deduction $18,800 Head of Household (5) Itemized deductions $21,000 (6) Greater of standard deductions or itemized $21,000 (5) > (4) deductions (7) Personal and dependency exemptions $0 (8) Taxable income $127,000 (3) +(6) Income tax liability $23,049 ($127,000 - $86,350) x 248 + $13,293 (see tax rate schedule for head of household) Schedule Z-Head of Household If taxable income is But not over: over: The tax is: S 0 $ 14,200 10% of taxable income $ 14,200 $ 54,200 $1,420 plus 12% of the excess over $14,200 $ 54,200 $ 86,350 $6,220 plus 22% of the excess over $54,200 $13,293 plus 24% of the excess over $86,350 $ 86,350 $164.900 $164,900 $209,400 $32.145 plus 32% of the excess over $164,900 $209,400 $523,600 $46,385 plus 35% of the excess over $209,400 $523,600 $156,355 plus 37% of the excess over $523,600