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John and Susan are a couple but not yet married. The are contemplating the tax effects of getting married. John earns $145,000 and Susan earns

John and Susan are a couple but not yet married. The are contemplating the tax effects of getting married. John earns $145,000 and Susan earns $80,000. Ignore itemized deductions and possible children. You can refer to the text for standard deduction and tax rates or to instructions to Form 1040

Complete the following table (1 point). Year 2018

John

Susan

Combined

John

Susan

Earns

$145,000

$80,000

$145,000

$80,000

A

B

A+B

C

D

E

D+E

John Single

Susan Single

John and Susan are NOT MARRIED. What is there combined tax?

John/Susan Married Filing Jointly (MFJ)

John - Married Filing Separately (MFS)

Susan - Married Filing Separately (MFS)

Combined John/Susan MFS

Standard deduction

NA

NA

Taxable Income

NA

NA

Tax

Show calculations below

NA

NA

II. Show tax calculations (for columns A, B, C, D, E (1 point)

A1. Copy and paste tables used Remember to use 2018 tables

A2. Show calculations You can use any format, including Excel files, as long as they are easy to read.

III. Comment on what you have learned (1 point; maximum of 0.5 for mediocre work to get 1.0 it must be interesting enough to be publishable in a newspaper).

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