Morgan (age 45) is single and provides more than 50% of the support of Tammy (a family friend), Jen (a niece, age 18), and Jerold (a nephew, age 18). Both Tammy and Jen live with Morgan, but Jerold (French citizen) lives in Canada, Morgan carns a salary of 596,000, contributes $6,000 to a traditional IRA, and receives sales proceeds of $15,000 for an RV that cost $60,000 and was used for vacations She has $8,200 in itemized deductions, Click here to access the standard deduction table to use if required. a. Morgan's taxable income is $ b. Using the Tax Rate Schedules (click here), tax liability for Morgan is $ for 2021. C. Compute Morgan's dependent tax credit. Basic Standard Deduction Amounts Standard Deduction Amount Filing Status 2020 2021 Single $12,400 $12,550 Married, filing jointly 24,800 25,100 Surviving spouse 24,800 25,100 Head of household 18,650 18,800 Married, filing separately 12,400 12,550 BER 2021 Tax Rate Schedules Single--Schedule X If taxable Head of household-Schedule Z Income is: of the But not If taxable Over- amount over Income is: The tax is: over- But not of the Over- $ amount 0 $ 9,950 ove ...... 1096 The tax is: $ 0 over- $ 0 $ 14,200 9,950 40,525 $ 995.00 + 12% ........ 10% $ 9,950 0 14,200 54,200 40,525 86,375 $ 1,420.00 + 12% 4,664.00+ 22 40,525 14,200 54,200 86,350 6,220.00+ 22% 86,375 164,925 14,751.00 + 24% 54,200 86,375 86,350 164,900 13,293.00 +24% 164,925 86,350 209,425 33,603.00 + 32% 164,925 164,900 209,400 32,145.00 + 32% 164,900 209,425 523,600 47,843.00 + 35% 209,425 209,400 523,600 46,385.00+ 35% 209.400 523,600 157,804.25 + 37% 523,600 523,600 156,355.00+ 37% 523,600 Married filing jointly or Qualifying widow(er)- Married filing separately-Schedule Y-2 Schedule Y-1 If taxable of the If taxable of the income is: But not amount income is: But not amount The tax is: Over- over- over over Over- The tax is: over 0 $ $ 19,900 $ 0 ......... 10% 0 $ $ 9,950 0 $ ......... 10% 40,525 19,900 $ 19,900 9,950 995.00 + 12% 81,050 9,950 $ 1,990.00 + 12% 81,050 81,050 40,525 86,375 4,664.00 + 22% 9,328.00 + 22% 40,525 172,750 86,375 164,925 14,751.00 + 24% 86,375 172,750 29,502.00 + 24% 172,750 329,850 164,925 164,925 209,425 33,603.00 + 32% 329,850 67,206.00 + 32% 329,850 418,850 314,150 47,843.00 + 35% 209,425 209,425 418,850 628,300 95,686.00 + 35% 418,850 314,150 628,300 84,496.75 + 37% 168,993.50 +37% 628,300 314,150 HERE 4