Santini's new contract for 2019 indicates the following compensation and benefits: Benefit Description Salary Health insurance Restricted stock grant Bonus Hawaii trip Group-term life insurance Parking ($309 per month) Amount $133,500 12,500 2,500 5,700 4,700 2,300 3,708 Santini is 54 years old at the end of 2019. He is single and has no dependents. The restricted stock grant is 500 shares granted when the market price was $5 per share. Assume that the stock vests on December 31, 2019, and that the market price on that date is $25.00 per share. Also assume that Santini is willing to make any elections to reduce equity-based compensation taxes. The Hawaii trip was given to him as the outstanding salesperson for 2018. The group-term life policy gives him $150,000 of coverage. Assume that Santini does not itemize deductions for the year. Determine Santini's taxable income and income tax liability for 2019. Use Tax rate schedules and Exhibit 12-8. (Round your answers to the nearest whole dollar amount. Leave no answer blank. Enter zero if applicable.) Amount Description Taxable Benefits $ Salary Restricted stock grant 133,500 2,500 5,700 Bonus Hawaii trip 4,700 Life Insurance (taxable portion) Parking AGI $ 146,400 Standard Deduction Taxable Income Income Tax Liability Santini's new contract for 2019 indicates the following compensation and benefits: Benefit Description Salary Health insurance Restricted stock grant Bonus Hawaii trip Group-term life insurance Parking ($309 per month) Amount $133,500 12,500 2,500 5,700 4,700 2,300 3,708 Santini is 54 years old at the end of 2019. He is single and has no dependents. The restricted stock grant is 500 shares granted when the market price was $5 per share. Assume that the stock vests on December 31, 2019, and that the market price on that date is $25.00 per share. Also assume that Santini is willing to make any elections to reduce equity-based compensation taxes. The Hawaii trip was given to him as the outstanding salesperson for 2018. The group-term life policy gives him $150,000 of coverage. Assume that Santini does not itemize deductions for the year. Determine Santini's taxable income and income tax liability for 2019. Use Tax rate schedules and Exhibit 12-8. (Round your answers to the nearest whole dollar amount. Leave no answer blank. Enter zero if applicable.) Amount Description Taxable Benefits $ Salary Restricted stock grant 133,500 2,500 5,700 Bonus Hawaii trip 4,700 Life Insurance (taxable portion) Parking AGI $ 146,400 Standard Deduction Taxable Income Income Tax Liability
