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Sara is filing as head of household and has 2018 taxable income of $57,000 which includes $3,000 of net long-term capital gain. The net long-term
Sara is filing as head of household and has 2018 taxable income of $57,000 which includes $3,000 of net long-term capital gain. The net long-term capital gain is made up of $1,000 25% gain and $2,000 0%/15%/20% gain. What is the tax on her taxable income using the alternative tax method? Note: Use the tax rate schedule rather than the tax table.
a.$7,088.
b.$7,208.
c.$6,948.
d.$0.
e.None of these choices are correct.
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