Tax Year: $2023$

Joe and Jessie are married and have one dependent child, Lizzie. Lizzie $($age $21)$ is currently in

college at State University as a full$-$time student. Joe works as a design engineer for a

manufacturing firm while Jessie runs a craft business from their home. Jessie's craft business

consists of making craft items for sale at craft shows that are held periodically at various

locations. Jessie spends considerable time and effort on her craft business, and it has been

consistently profitable over the years. Joe and Jessie own a home and pay interest on their home

loan $($balance of $$450,000).$ Neither Joe nor Jessie is blind or over age $65,$ and they plan to file

as married filing joint.

Based on the following information, calculate Joe and Jessie's AGI and taxable income for the

year. Assume that the employer portion of the self$-$employment tax on Jessie's income is $$831$

$($also used as a deduction to arrive at Jessie's qualified business income$).$