Question
Renaldo and Rita Hernandez have three children aged 17, 18, and 12. Renaldo's father lives with them and has no income Renaldo earned a salary
Renaldo and Rita Hernandez have three children aged 17, 18, and 12. Renaldo's father lives with them and has no income Renaldo earned a salary of $46,000 during the year. Rita is not employed. They paid $ 3,200 property tax and $6,050 mortgage interest on their home. They paid $2.900 principal on their mortgage. They paid state income tax of $ 2,100. They donated $550 to their church and $650 to the salvation army. They spent $6,200 on groceries and $1.300 on utilities. They itemize their deductions. Complete the problem, using the exemptions,deductions, and tax rates given in the chapter .
A. What is their taxable income?
B.What is their net income tax after credits? (round tax amount prior to subtracting child tax credit)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started