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Problem 7-56 (LO 7-3) Zach and Melissa Nieland file a joint tax return, and they itemize deductions. Assume their marginal tax rate on ordinary income
Problem 7-56 (LO 7-3) Zach and Melissa Nieland file a joint tax return, and they itemize deductions. Assume their marginal tax rate on ordinary income is 25 percent. The Nielands incur $2,500 in miscellaneous itemized deductions, excluding investment expenses. They also incur $1,500 in noninterest investment expenses during the year. What tax savings do they receive from the investment expenses under the following assumptions: (Round your answer to the nearest whole dollar amount.) Problem 7-56 Part-a a. Their AGI is $101,000 Tax savings from investment expense
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