Reba Dixon is a fifth-grade school teacher who earned a salary of $38,400 in 2018. She is 45 years old and has been divorced for four years. She receives $1,300 of alimony payments each month from her former husband (divorced in 2016). Reba also rents out a small apartment building. This year Reba received $50,200 of rental payments from tenants and she incurred $19,578 of expenses associated with the rental. Reba and her daughter Heather (20 years old at the end of the year) moved to Georgia in January of this year. Reba provides more than one-half of Heathers support. They had been living in Colorado for the past 15 years, but ever since her divorce, Reba has been wanting to move back to Georgia to be closer to her family. Luckily, last December, a teaching position opened up and Reba and Heather decided to make the move. Reba paid a moving company $2,210 to move their personal belongings, and she and Heather spent two days driving the 1,466 miles to Georgia. Reba rented a home in Georgia. Heather decided to continue living at home with her mom, but she started attending school full-time in January at a nearby university. She was awarded a $3,200 partial tuition scholarship this year, and Reba helped out by paying the remaining $500 tuition cost. If possible, Reba thought it would be best to claim the education credit for these expenses. Reba wasn't sure if she would have enough items to help her benefit from itemizing on her tax return. However, she kept track of several expenses this year that she thought might qualify if she was able to itemize. Reba paid $6,000 in state income taxes and $12,700 in charitable contributions during the year. She also paid the following medical-related expenses for herself and Heather: Insurance premiums $ 5,995 Medical care expenses $ 1,300 Prescription medicine $ 550 Nonprescription medicine $ 300 New contact lenses for Heather $ 400 Shortly after the move, Reba got distracted while driving and she ran into a street sign. The accident caused $1,100 in damage to the car and gave her whiplash. Because the repairs were less than her insurance deductible, she paid the entire cost of the repairs. Reba wasnt able to work for two months after the accident. Fortunately, she received $2,200 from her disability insurance. Her employer, the Central Georgia School District, paid 60% of the premiums on the policy as a nontaxable fringe benefit and Reba paid the remaining 40% portion. A few years ago, Reba acquired several investments with her portion of the divorce settlement. This year she reported the following income from her investments: $2,400 of interest income from corporate bonds and $1,700 interest income from the City of Denver municipal bonds. Overall, Rebas stock portfolio appreciated by $12,200 but she did not sell any of her stocks. Heather reported $6,600 of interest income from corporate bonds she received as gifts from her father over the last several years. This was Heathers only source of income for the year. Reba had $10,000 of federal income taxes withheld by her employer. Heather made $1,000 of estimated tax payments during the year. Reba did not make any estimated payments. Reba had qualifying insurance for purposes of the Affordable Care Act (ACA).

2013 Ida Idle slucuules Individuals Schedule X-Single If taxable income is over: But not over: The tax is: S 0 $ 9,525 10% of taxable income $ 9,525 $ 38,700 $952.50 plus 12% of the excess over $9,525 S 38.700 $ 82,500 $4,453.50 plus 22% of the excess over $38.700 S 82.500 $157,500 $14,089.50 plus 24% of the excess over $82,500 $157.500 $200,000 $32,089.50 plus 32% of the excess over $157,500 $200.000 $500,000 $45,689.50 plus 35% of the excess over $200,000 $500.000 - $150.689.50 plus 37% of the excess over $500.000 Schedule Y-1-Married Filing Jointly or Qualifying Widow(er) If taxable income is over: But not over: The tax is: 0 $ 19,050 10% of taxable income $ 19,050 $ 77,400 $1,905 plus 12% of the excess over $19.050 S 77,400 $165,000 $8.907 plus 22% of the excess over $77,400 $165.000 $315,000 $28,179 plus 24% of the excess over $165,000 $315.000 $400,000 $64,179 plus 32% of the excess over $315,000 $400.000 $600,000 $91,379 plus 35% of the excess over $400,000 $600,000 - $161,379 plus 37% of the excess over $600.000 Schedule Z-Head of Household If taxable income is over: But not over: The tax is: S 0 $ 13,600 10% of taxable income $ 13,600 $ 51,800 $1,360 plus 12% of the excess over $13,600 S 51.800 $ 82,500 $5,944 plus 22% of the excess over $51,800 S 82.500 $157,500 $12,698 plus 24% of the excess over $82,500 $157,500 $200,000 $30,698 plus 32% of the excess over $157,500 $200.000 $500.000 $44,298 plus 35% of the excess over $200,000 $500,000 $149,298 plus 37% of the excess over $500,000 Schedule Y-2-Married Filing Separately If taxable income is over: But not over: The tax is: S 9,525 10% of taxable income $ 9,525 $ 38,700 $952.50 plus 12% of the excess over $9,525 $ 38,700 $ 82,500 $4,453.50 plus 22% of the excess over $38.700 S 82.500 $157,500 $14,089.50 plus 24% of the excess over $82,500 $157,500 $200,000 $32,089.50 plus 32% of the excess over $157,500 $200.000 $300,000 $45,689.50 plus 35% of the excess over $200,000 $300,000 $80,689.50 plus 37% of the excess over $300,000 a. Determine Reba's federal income tax refund or taxes payable for the current year. Use Tax Rate Schedule for reference. (Round percentages to two decimal places. Round your intermediate computations and final answers to the nearest whole dollar amount. Leave no answer blank. Enter zero if applicable.) Answer is complete but not entirely correct. Description Amount $ Gross Income: Salary Alimony received Rental receipts Disability insurance payments Interest income from corporate bonds Interest income from municipal bonds Gross income Deductions for AGI: Expenses for rental property Total for AGI deductions 38,400 14,580 50,300 0 % 1,218 2,230 106,728 (1) $ 19,617 X 2,298 84.813 AGI From AGI deductions: Medical expenses State income taxes Charitable contributions Total itemized deductions Standard deduction Greater of itemized deductions or standard deduction Taxable income Tax on taxable income Credits Tax prepayments Tax refund 0 5,830 12,530 X 18,360 X 18,000 18,360 | 66,453 9,168 % 1,000 10,000 1,832 (10) $