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Karen is single. Last year she earned $37,300 in wages. Additional tax information for the year is as follows: interest earned: $125; capital gains from
Karen is single. Last year she earned $37,300 in wages. Additional tax information for the year is as follows: interest earned: $125; capital gains from sale of stock: $1,750; penalty on early withdrawal of savings: $300; contributions to Keogh retirement fund: $1,900; real estate taxes paid: $4,000; mortgage interest paid: $3,500. The following table gives the standard deduction for various filing statuses.
Single or married filing separately | $12,000 |
---|---|
Married filing jointly or surviving spouse | $24,000 |
Head of household | $18,000 |
65 or older and/or blind and/or someone else can claim you (or your spouse if filing jointly) as a dependent: | Varies (See www.irs.gov for information.) |
Find the taxable income for the year.
$17,475
$24,975
$39,050$39,175
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