Tax Rate Schedule

Required Information [The following information applies to the questions displayed below.] Marc and Michelle are married and earned salaries this year of $68.800 and $13.800, respectively. In addition to their salaries, they received Interest of $350 from municipal bonds and $1,100 from corporate bonds. Marc contributed $3.100 to a traditional Individual retirement account and Marc pald alimony to a prior spouse in the amount of $2100 (under a divorce decree effective June 1, 2006). Marc and Michelle have a 10-year-old son. Matthew, who lived with them throughout the entire year. Thus, Marc and Michelle are allowed to claim a $3,000 child tax credit for Matthew. Marc and Michelle pald $7.200 of expenditures that qualify as itemized deductions (no charitable contributions) and they had a total of $3,145 In federal Income taxes withheld from their paychecks during the year. (Use the tax rate schedules. Schedule Y-1-Married Filing Jointly or Qualifying Widow(er) If taxable income is over: But not over: The tax is: S 0 $ 19,900 10% of taxable income $ 19,900 $ 81,050 $1,990 plus 12% of the excess over $19,900 $ 81,050 $ 172,750 59.328 plus 22% of the excess over $81,050 $ 172,750 $ 329,850 $29,502 plus 24% of the excess over $172,750 $ 329,850 S 418,850 567,206 plus 32% of the excess over $329,850 $ 418,850 $ 628,300 595,686 plus 35% of the excess over $418,850 $ 628,300 $168.993.50 plus 37% of the excess over $628,300 c. What is the total amount of Marc and Michelle's deductions from AGI? Answer is complete but not entirely correct. Total deductions from AGI $ 24,000 d. What Is Marc and Michelle's taxable income? Answer is complete but not entirely correct. Taxable income $ 54,500 . ? e. What Is Marc and Michelle's taxes payable or refund due for the year? Answer is complete but not entirely correct. Refund due $ 2.161