Suppose that Tom and Jenny were married. They were filing their tax jointly with two dependent children, and they had a taxable income of $93,600 in 2017. Assuming they were entitled to a tax credit of $1000 per child,

a) How much is their income tax?

b) How much is their tax Liability?

c) How much did they owe in FICA?

2017 Income Tax Brackets

Single

Taxable Income	Tax Rate
$0 - $9,325	10%
$9,326 - $37,950	$932.50 plus 15% of the amount over $9,325
$37,951 - $91,900	$5,226.25 plus 25% of the amount over $37,950
$91,901 - $191,650	$18,713.75 plus 28% of the amount over $91,900
$191,651 - $416,700	$46,643.75 plus 33% of the amount over $191,650
$416,701 - $418,400	$120,910.25 plus 35% of the amount over $416,700
$418,401 or more	$121,505.25 plus 39.6% of the amount over $418,400

Married Filing Jointly or Qualifying Widow(er)

Taxable Income	Tax Rate
$0 - $18,650	10%
$18,651 - $75,900	$1,865 plus 15% of the amount over $18,650
$75,901 - $153,100	$10,452.50 plus 25% of the amount over $75,900
$153,101 - $233,350	$29,752.50 plus 28% of the amount over $153,100
$233,351 - $416,700	$52,222.50 plus 33% of the amount over $233,350
$416,701 - $470,700	$112,728 plus 35% of the amount over $416,700
$470,701 or more	$131,628 plus 39.6% of the amount over $470,700

2017 Personal Exemption Amounts

For tax year 2017, the personal exemption amount is $4,050

2017 Standard Deduction Amounts

Filing Status	Standard Deduction
Single	$6,350
Married Filing Jointly	$12,700
Married Filing Separately	$6,350
Head of Household	$9,350
Qualifying Widow(er)	$12,700

* As of 2017 the income tax rate for dividends and long term capital gain were

0 % for income in the 10% and 15% bracket

15% for income higher 15% but lower than 39.6% bracket.

20% for income in the 39.6% bracket

For 2017, the FICA tax rate were

* 7.65% on the first $127,200 wages paid with the employer marching 7.65%.

* 1.45% on on any income from wages excess of $127,200 wages paid with the employer marching 1.45%.

* FICA tax does not apply to dividend income and capital gain if the Adjusted

Gross Income is not above $200,000