Question
Steve and Beth Compton are married and have one child.Steve is putting together some figures so that he can prepare the Comptons' joint 2016 tax
Steve and Beth Compton are married and have one child.Steve is putting together some figures so that he can prepare the Comptons' joint 2016 tax return.He can claim three personal exemptions (including himself).So far, he's been able to determine the following with regard to income and possible deductions:
Deductable?
Yes/no
Total unreimbursed medical expenses incurred
$1,155
Gross wages and commissions earned
50,770
IRA contribution
5,000
Mortgage interest paid
5,200
Job expenses and other allowable deductions
875
Interest paid on credit cards
380
Dividend and interest income earned
610
Sales taxes paid
2,470
Charitable contributions made
1,200
Interest paid on a car loan
570
Alimony paid by Steve to his first wife
6,000
Social Security taxes paid
2,750
Property taxes paid
700
State income taxes paid
1,700
Given this information, how much taxable income will the Comptons have in 2016?(Note:Assume that Steve is covered by a pension plan where he works, the standard deduction of $11,600 for married filing jointly applies, and each exemption claimed is worth $3,700.)
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