Marc and Michelle are married and earned salaries this year of $60,000 and $15,000, respectively. In addition to their salaries, they received interest of $350 from municipal bonds and $500 from corporate bonds. Marc contributed $2,500 to a traditional individual retirement account, and he also paid alimony to a prior spouse in the amount of $1,500 (under a divorce decree effective June 1, 2006). Marc and Michelle have a 10-year-old son, Matthew, who lived with them throughout the entire year. Thus, Marc and Michelle are allowed to claim a $3,000 child tax credit for Matthew. Marc and Michelle paid $6,000 of expenditures that qualify as itemized deductions (no charitable contributions) and they had a total of $2,500 in federal income taxes withheld from their paychecks during the year. What is Marc and Michelles gross income? adjusted gross income? taxable income? Taxes payable or refund due? With Marc and Michele, municipal bond interest is not taxable. IRA contributions and alimony are deductible above-the-line. They will claim the greater of itemized or standard