* These amounts are $2,700 and $3,400, respectively, for a taxpayer who is both aged and blind.

Personal and Dependency Exemptions Suspended: In conjunction with the increased standard deduction amount, the Tax Cuts and Jobs Act reduces the personal exemption amount to $0 for tax years from 2018 through 2025, effectively suspending the exemptions for these years.

Requirement a. Compute Latesha's taxable income and federal tax liability for 2021 (round to dollars and ignore the qualified business income deduction and self-employment taxes for this problem). First calculate the gross income, then calculate taxable income and the federal tax liability. (Calculate the tax using the tax rate schedule. Do not round interim tax calculations. Round the amount entered into the cell to the nearest whole dollar. If an input field is not used in the table, leave the input field empty; do not select a label or enter a zero.) Total income from whatever source derived Minus: Exclusions, as provided in the tax law Gross income INCOME: DEDUCTIONS: Salary Business Income Interest income from taxable bonds Interest income from tax-exempt bonds TOTAL INCOME Business expenses Itemized deductions TOTAL DEDUCTIONS $ $ $ $ 100,000 25,000 10,000 5,000 140,000 9,500 20,000 29,500 If taxable income is: Not over $9,950 Over $9,950 but not over $40,525 Over $40,525 but not over $86,375 Over $86,375 but not over $164,925 Over $164,925 but not over $209,425 Over $209,425 but not over $523,600 Over $523,600 Single The tax is: 10% of taxable income. $995.00 +12% of the excess over $9,950. $4,664.00 +22% of the excess over $40,525. $14,751.00 +24% of the excess over $86,375. .... $33,603.00 + 32% of the excess over $164,925. $47,843.00 +35% of the excess over $209,425. $157,804.25 +37% of the excess over $523,600. STANDARD DEL Filing Status Married individuals filing joint returns and surviving spouses $ Heads of households $ $ Unmarried individuals (other than surviving spouses and heads of households) Married individuals filing separate returns $ Additional standard deduction for the aged and the blind; Individual who is married and surviving spouses Additional standard deduction for the aged and the blind; Individual who is unmarried and not a surviving spouse Taxpayer claimed as dependent on another taxpayer's return: Greater of (1) earned income plus $350 or (2) $1,100. 25,100 18,800 12,550 12,550 $1,350** $1,700**