Toby and Nancy are engaged and plan to get married. Toby is a full-time student and earns $8,500 from a part-time job. With this income, student loans, savings, and nontaxable scholarships, he is self-supporting. For the year, Nancy is employed and reports $79,200 in wages. Exhibit 3.4 Basic Standard Deduction Amounts 2018 2019 $12,000 $12,200 Filing Status Single Married, filing jointly Surviving spouse Head of household 24,000 24,400 24,000 24,400 18,000 18,350 Married, filing separately 12,000 12,200 of the amount over- over- over- $ 2019 Tax Rate Schedules Single-Schedule X Head of household-Schedule Z If taxable of the If taxable income is: But not amount income is: But not Over- The tax is: Over- over- The tax is: 0 $ 9,700 ......... 10% $ o $ 0 $ 13,850 ......... 10% 9,700 39,475 970.00 + 12% 9,700 13,850 52,850 $ 1,385.00 + 12% 39,475 84,200 4,543.00 + 22% 39,475 52,850 84,200 6,065.00 + 22% 84,200 160,725 14,382.50 + 24% 84,200 84,200 160,700 12,962.00 + 24% 160,725 204,100 32,748.50 + 32% 160,725 160,700 204,100 31,322.00 + 32% 204,100 510,300 46,628.50 + 35% 204,100 204,100 510,300 45,210.00 + 35% 510,300 153,798.50 + 37% 510,300 510,300 152,380.00 + 37% Married filing jointly or Qualifying widow(er) - Married filing separatelySchedule Y-2 Schedule Y-1. If taxable of the If taxable income is: But not amount income is: But not Over- The tax is: over Over- over- The tax is: 0 $ 19,400 ......... 10% $ o $ 0 $ 9,700 ......... 10% 19,400 78,950 $ 1,940.00 + 12% 19,400 9,700 39,475 $ 970.00 + 12% 78,950 168,400 9,086.00 + 22% 78,950 39,475 84,200 4,543.00 + 22% 168,400 321,450 28,765.00 + 24% 168,400 84,200 160,725 14,382.50 + 24% 321,450 408,200 65,497.00 + 32% 321,450 160,725 204,100 32,748.50 + 32% 408,200 612,350 93,257.00 + 35% 408,200 204,100 306,175 46,628.50 + 35% 612,350 164,709.50 + 37% 612,350 306,175 82,354.75 + 37% $ 13,850 52,850 84,200 160,700 204,100 510,300 of the amount over- over- $ 0 9,700 39,475 84,200 160,725 204,100 306,175 a. Compute the following: Toby Filing Single Nancy Filing Single Gross income and AGI $ Standard deduction Taxable income $ $ Income tax Feedback Check My Work married individuals elect to file separate returns, each reports only his or her own income, exemptions, deductions, and credits, and each must use the Tax Rate Schedule applicable to married taxpayers filing separately. It is generally advantageous for married individuals to file a joint return, because the combined amount of tax is lower. b. Assume that Toby and Nancy get married in 2019 and file a joint return. What is their taxable income and income tax? Round your final answer to nearest whole dollar. Married Filing Jointly Gross income 1 x Standard deduction Taxable income $ Income tax C. How much Federal income tax can Toby and Nancy save if they get married in 2019 and file a joint return