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LOSAS NW WWMO NI 304 ATNO NY310 AC Chapter 2 2-30 425 --31 -32 Computation of Taxable Income. The following information relates to Tom, a single taxpayer, age 18: Wages $7,000 Taxable interest income Itemized deductions 310 a. Compute Tom's taxable income assuming he is self-supporting. b. Compute Tom's taxable income assuming he is a dependent of his parents. Joint Versus Separate Returns. Carl has $60,000 of salary and $11,000 of itemized de- ductions. Carol has $90,000 of salary and $16,200 of itemized deductions. They are mar- ried and under age 65. a. Compute their taxable incomes if they file separately and Carol claims itemized deduc- tions on her return. b. Compute their taxable income if they file jointly. Assume their total itemized deduc- tions equals the sum of their separate itemized deductions. Dependency Requirements. Wes and Tina are a married couple and provide financial assistance to several persons during the current year. For the situations below, determine whether the individuals qualify as Wes and Tina's dependents. In all of the situations below, assume that any dependency tests not mentioned have been met. a. Brian is age 24 and Wes and Tina's son. He is a full-time student and lives in an apart- ment near campus. Wes and Tina provide over 50% of his support. Brian works as a waiter and earned $5,200. b. Same as Part a except that Brian is a part-time student. c. Sherry is age 22 and Wes and Tina's daughter. She is a full-time student and lives in the college dormitory. Wes and Tina provide over 50% of her support. Sherry works part- time as a bookkeeper and earned $5,000. d. Same as Part c except that Sherry is a part-time student. e. Granny, age 82, is Tina's grandmother and lives with Wes and Tina. During the current year, Granny's only source of income was her Social Security of $12,000 (the Social Security is wholly tax-exempt in this situation). Granny uses her income to pay for 40% of her total support; Wes and Tina provide the remainder of Granny's support. Lahildren