Paul and Susana Martinez are married with three children, all of whom live at home. The children are ages 6, 5, and 3. Paul is the vice president of Community Hospital, and his annual salary is $92,500. Community Hospital provides all of its employees with free group-term life insurance ($50,000 in coverage) and free medical and dental health insurance coverage. Paul's health insurance cost Community Hospital $9,700. The hospital's cost of his group- term life insurance coverage was $5,100. Community Hospital offers a 401(k) plan for its employees, and Paul elected to contribute $4,800 in 2023. Community Hospital matched his contribution on a dollar for dollar basis. Paul had federal income tax withholding of $11,600 for the current year. In August, Paul was recognized for 20 years of employment with the hospital. Paul received a watch worth $250 and a $400 cash payment. Susana is a part-time interior designer, and she received $9,000 of fees from her clients during 2023. (She is considered to be a sole proprietor.) She is also a 20% partner in a partnership which operates a home furnishing store. She received a $3,000 cash distribution from the partnership this year, and the total partnership net income for 2023 was $20,000. The three children are from Susana's first marriage. Sue continues to receive child support from her former husband. Child support totaled $18,000 for the current year, and her former husband does not pay alimony. Susana's divorce was finalized in 2021. Paul and Susana received interest income of $200 from a savings account, $100 from a US Treasury bond, and $400 from a bond issued by the City of Tuscaloosa. Also during the year, Susana received a cash gift of $10,000 from her parents, and Paul won $1,500 at a slot machine in Las Vegas in February. Paul purchased 1,000 shares of ABC Corporation stock at the beginning of the year for $80 per share. The stock is currently trading at $95 per share. Deductions for AGI, which include the deduction for self-employment tax, total $4,500. The total other tax liability for 2023, which is related to self-employment tax, is $1,275. Itemized deductions total $34,000 for the current year. Paul and Susana qualify for a $6,000 child tax credit for the three children. Recall that the standard deduction for married filing jointly taxpayers in 2023 is $27,700.

Paul and Susana Martinez are married with three children, all of whom live at bome. The children are ages 6,5 , and 3. Paul is the vice president of Community Hospital, and his annual salary is $92,500. Community Hospital provides all of its employees with free group-term life insurance (\$50,000 in coverage) and free medical and dental health insurance coverage. Paul's health insurance cost Community Hospital \$9,700. The hospital's cost of his groupterm life insunace coverage was $5,100. Community Hospital offers a 401(k) plan for its employees, and Panl elected to contribute $4,800 in 2023 . Community Hospial matched his contribution on a dollar for doller basis. Paul bad federal income tax withbolding of $11,600 for the current year, In August, Paul was recognized for 20 years of employment with the hespital. Paul received a watch worth $250 and a $400 cash payment. Susana is a part-time interior designer, and she received 59,000 of fees from her clients during 2023. (She is considered to be a sole proprietoe.) She is also a 20% partner in a partneship which operates a horne furnishing store. She received a $3,000 cash distribution from the partnership this year, and the total partnership net income for 2023 was $20,000. The three children are from Susana's first marriage. Sue continues to receive child support from her former husband. Child support totaled $18,000 for the current year, and her former busband does not pay alemoay. Susana's divorce was finalived in 2021. Pail and Suana received interest income of $200 from a savings account, $100 from a US Treasury bond, and $400 from a bond issued by the City of Tuscaloosa. Also daring the year, Susana receivad a cash gift or $10,000 from her parents, and Pasl won $1,500 at a slot machine in Las Vegas in February. Paul purchasod 1,000 shares of ABC Corporation stock at the beginning of the year for 580 per share. The stock is currently trading at $95 per share. Deductions for AGL, which include the deduction for self-employment tax, total 54,500. Tbe total other tax liability for 2023, which is related to self-employment tox, is $1,275. Itemized deductions total $34,000 for the currcot year. Paul and Susana qualify for a \$6,000 child tax credit for the thrte children. Rocall that the standard deduction for married fileng joindly wepayers in 2023 is 527,700 . tex formu le format for your selution and show all work in order to obtain any poincs for this