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N.B. For question 3, the professor in question is a personal finance professor that teaches at a college. Step 1: Determining Gross or Total Taxable
N.B. For question 3, the professor in question is a personal finance professor that teaches at a college.
Step 1: Determining Gross or Total Taxable income Gross Income - Sum of Taxable income from All Sources + Step 2: Calculating Adjusted Gross Income (AGI) Less: Adjustments to Gross Income: Tax-Deductible Expenses and Retirement Contributions (IRA, 401(k), 403(b) contributions, some moving expenses, etc.) Step 3: Subtracting Deductions Less: The Greater of Itemized Deductions or the Standard Deduction Step 4: Claiming Your Exemptions Less: Your Exemptions Step 5: Calculating Your Taxable Income and, from That, Calculating Your Base Income Tax Equals: Your Taxable Income; Then Use the Tax Tables or Tax Rate Schedules to Calculate Your Base Income Tax Step 6: Subtracting Your Credits and Determining Your Taxes Due Less: Any Tax Credits You Might Have to Determine Taxes Due + Equals: Taxes Due Question 1 - Which are preferable, adjustments or itemized deductions? Why? Question 2 - What is a possible benefit of prepaying my doctor bill due January 15 2019 on or before December 31 2018? Question 3 - Can Professor Davidoff take "Educator expenses? Why or why not? Step 1: Determining Gross or Total Taxable income Gross Income - Sum of Taxable income from All Sources + Step 2: Calculating Adjusted Gross Income (AGI) Less: Adjustments to Gross Income: Tax-Deductible Expenses and Retirement Contributions (IRA, 401(k), 403(b) contributions, some moving expenses, etc.) Step 3: Subtracting Deductions Less: The Greater of Itemized Deductions or the Standard Deduction Step 4: Claiming Your Exemptions Less: Your Exemptions Step 5: Calculating Your Taxable Income and, from That, Calculating Your Base Income Tax Equals: Your Taxable Income; Then Use the Tax Tables or Tax Rate Schedules to Calculate Your Base Income Tax Step 6: Subtracting Your Credits and Determining Your Taxes Due Less: Any Tax Credits You Might Have to Determine Taxes Due + Equals: Taxes Due Question 1 - Which are preferable, adjustments or itemized deductions? Why? Question 2 - What is a possible benefit of prepaying my doctor bill due January 15 2019 on or before December 31 2018? Question 3 - Can Professor Davidoff take "Educator expenses? Why or why notStep by Step Solution
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