Tax Determination, Payments, and Reporting Procedures 2-53 CUMULATIVE PROBLEM 1 (CHAPTERS 1-2) Jack Bennett is married but does not file a joint return with his spouse. He is 36 years of age and has excellent vision. Jack and his wife share custody of their 10-year-old son. They have lived in separate households since May 2015. Jack is not the custodial parent, but his wife has signed Form 8332, allowing Jack to claim their son as a dependent. Jack's AGI is $63,440 (all from wages) and he uses the standard deduction. His employer withheld $8,000 for federal income taxes during the year. Through his employer, Jack purchases his health insurance. He complies with the ACA mandate for the entire year. Compute Jack's 2015 taxable income and taxes owed (to be refunded). CUMULATIVE PROBLEM 2 (CHAPTERS 1-2) Emily and David Chen claim their three children, ages 5-10, as dependents. During 2015, Emily worked full-time and earned $39,600. Emily's employer provides her with family health care coverage that complies with the ACA mandate. Her employer withheld nothing for federal income taxes. David attended college full-time for the entire year. Other than Emily's wages, the couple's only other source of earned income is $800 of taxable interest. (David received a tax-free scholarship that paid for his college tuition, book, and fees.) The Chens paid $2,500 in qualified childcare expenses so that Emily could work and David could attend college. Compute the couple's taxable income and taxes owed (to be refunded) on their 2015 joint tax return. The couple uses the standard deduction. They are both under age 65 and have no problems with their vision