Question
Problem 2: Abe and Betty are married and file a joint income tax return. Abe is 67 years old and Betty is 58 years
Problem 2: Abe and Betty are married and file a joint income tax return. Abe is 67 years old and Betty is 58 years old. Abe and Betty have no dependents. Abe and Betty have no tax credits and had $25,000 of federal income tax withheld from their paychecks. Other information needed to prepare Abe and Betty's 2020 individual income tax return is as follows: Abe's Salary Betty's Salary Interest received on savings account Interest received on State of Tennessee bond Total Itemized Deductions. Calculate Abe and Betty's: 1. Total income 2. Adjusted gross income 3. Taxable income 4. Tax 5. Taxes due or refund 6. Marginal tax rate 7. Average tax rate 8. Effective tax rate $ 66,000 85,000 2,000 3,000 25.000
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