Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

Required information [The following information applies to the questions displayed below.) Jeremy earned $101,900 in salary and $7,900 in interest income during the year. Jeremy's

image text in transcribed
image text in transcribed
Required information [The following information applies to the questions displayed below.) Jeremy earned $101,900 in salary and $7,900 in interest income during the year. Jeremy's employer withheld $11,000 of federal income taxes from Jeremy's paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $31,700 in itemized deductions. (Use the tax rate schedules.) Description Amount $ 0 (1) Gross income (2) For AGI deductions (3) Adjusted gross income (4) Standard deduction (5) Itemized deductions (6) (7) Taxable income (8) Income tax liability (9) Child tax credit (10) Tax withholding 0 a. Determine Jeremy's tax refund or taxes due. b) Assume that in addition to the original facts, Jeremy has a long-term capital gain of $13,050. What is Jeremy's tax refund or tax due including the tax on the capital gain? (Round your intermediate calculations and final answer to the nearest whole dollar amount.) C. Assume the original facts except that Jeremy has only $7,000 in itemized deductions. What is Jeremy's tax refund or tax due? 2020 Tax Rate Schedules Individuals Schedule X-Single Ir taxable income is over: But not over: The tax is: $ 0 $ 9,875 10% of taxable income $ 9.875 $ 40,125 $987.50 plus 12% of the excess over $9,875 $ 40,125 $ 85,525 $4,617.50 plus 22% of the excess over $40,125 $ 85,525 $163,300 $14,605.50 plus 24% of the excess over $85,525 $163.300 $207,350 $33,271.50 plus 32% of the excess over $163,300 $207,350 $518,400 $47.367.50 plus 35% of the excess over $207,350 $518,400 $156,235 plus 37% of the excess over $518,400 + Schedule Y-1-Married Filing Jointly or Qualifying Widow(er) If taxable income is over: But not over: The tax is: $ 0 $ 19,750 10% of taxable income $ 19,750 $ 80,250 $1,975 plus 12% of the excess over $19,750 $ 80.250 $171,050 $9,235 plus 22% of the excess over $80,250 $171,050 $326,600 $29,211 plus 24% of the excess over $171,050 $326,600 $414,700 $66,543 plus 32% of the excess over $326,600 $414,700 $622,050 $94,735 plus 35% of the excess over $414,700 $622,050 $167,307 50 plus 37% of the excess over $622,050 Schedule Z-Head of Household If taxable income is over: But not over: $0 $ 14,100 $ 14,100 $ 53,700 $ 53,700 $ 85,500 $ 85,500 $163,300 $ 163,300 $207 350 $207,350 $518.400 $518,400 The tax is: 10% of taxable income $1,410 plus 12% of the excess over $14,100 $6,162 plus 22% of the excess over $53,700 $13,158 plus 24% of the excess over $85 500 $31,830 plus 32% of the excess over $163 300 $45 926 plus 35% of the excess over $207 350 $154,793 50 plus 37% of the excess over $518,400 Schedule Y-2-Married Filing Separately Ir taxable income is over: But not over: The tax is: $ 0 $ 9.875 10% of taxable income $ 9,875 $ 40,125 $987 50 plus 12% of the excess over $9.875 $ 40,125 $ 85,525 $4.617 50 plus 22% of the excess over $40,125 $ 85,525 $ 163,300 $14,605 50 plus 24% of the excess over $85.525 $163,300 $207,350 $33,271.50 plus 32% of the excess over $163,300 $207,350 $311.025 $47.367.50 plus 35% of the excess over $207,350 $311.025 $83,653.75 plus 37% of the excess over $311,025

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions