Use the 2016 marginal tax rates in the above table to calculate the federal tax owed by an unmarried head of household with two dependent children whose gross income, adjustments, deductions, and credits are given as follows: Gross income: $50,000 Adjustments: none Deductions: $4500: state taxes $2000: theft loss Tax credit: $2000 Fill in the blank based on the above information. Adjusted gross income = Total exemption for 3 persons = Taxable Income = - ( + 9300) = (Note: Here we use standared deduction) Tax computation Income tax = TABLE 8.1 2016 Marginal Tax Rates, Standard Deductions, and Exemptions Unmarried, divorced, or legally separated Married and each Married and both Unmarried and paying more than half the cost of partner files a separate tax return partners file a single tax return supporting a child or parent Married Filing Separately Married Head of Tax Rate Single Filing Jointly Household 10% up to $9275 up to $9275 up to $18,550 up to $13,250 15% $9276 to $37,650 $9276 to $37,650 $18,551 to $75,300 $13,251 to $50,400 25% $37,651 to $91,150 $37,651 to $75,950 $75,301 to $151,900 $50,401 to $130,150 28% $91,151 to $190,150 $75,951 to $115,725 $151,901 to $231,450 $130,151 to $210,800 33% $190,151 to $413,350 $115,726 to $206,675 $231,451 to $413,350 $210,801 to $413,350 35% $413,351 to $415,050 $206,676 to $233,475 $413,351 to $466,950 $413,351 to $441,000 39.6% more than $415,050 more than $233,475 mоre than $466,950 more than $441,000 Standard Deduction $6300 $6300 $12,600 $9300 Exemptions (per person) $4050 $4050 $4050 $4050
Use the 2016 marginal tax rates in the above table to calculate the federal tax owed by an unmarried head of household with two dependent children whose gross income, adjustments, deductions, and credits are given as follows: Gross income: $50,000 Adjustments: none Deductions: $4500: state taxes $2000: theft loss Tax credit: $2000 Fill in the blank based on the above information. Adjusted gross income = Total exemption for 3 persons = Taxable Income = - ( + 9300) = (Note: Here we use standared deduction) Tax computation Income tax = TABLE 8.1 2016 Marginal Tax Rates, Standard Deductions, and Exemptions Unmarried, divorced, or legally separated Married and each Married and both Unmarried and paying more than half the cost of partner files a separate tax return partners file a single tax return supporting a child or parent Married Filing Separately Married Head of Tax Rate Single Filing Jointly Household 10% up to $9275 up to $9275 up to $18,550 up to $13,250 15% $9276 to $37,650 $9276 to $37,650 $18,551 to $75,300 $13,251 to $50,400 25% $37,651 to $91,150 $37,651 to $75,950 $75,301 to $151,900 $50,401 to $130,150 28% $91,151 to $190,150 $75,951 to $115,725 $151,901 to $231,450 $130,151 to $210,800 33% $190,151 to $413,350 $115,726 to $206,675 $231,451 to $413,350 $210,801 to $413,350 35% $413,351 to $415,050 $206,676 to $233,475 $413,351 to $466,950 $413,351 to $441,000 39.6% more than $415,050 more than $233,475 mоre than $466,950 more than $441,000 Standard Deduction $6300 $6300 $12,600 $9300 Exemptions (per person) $4050 $4050 $4050 $4050
Fundamentals of Financial Management, Concise Edition (MindTap Course List)
9th Edition
ISBN:9781305635937
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter3: Financial Statements, Cash Flow, And Taxes
Section: Chapter Questions
Problem 8P: PERSONAL TAXES Susan and Stan Britton are a married couple who file a joint income tax return, where...
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Transcribed Image Text:Use the 2016 marginal tax rates in the above table to
calculate the federal tax owed by an unmarried head
of household with two dependent children whose
gross income, adjustments, deductions, and credits are
given as follows:
Gross income: $50,000
Adjustments: none
Deductions: $4500: state taxes
$2000: theft loss
Tax credit: $2000
Fill in the blank based on the above information.
Adjusted gross income =
Total exemption for 3 persons =
Taxable Income =
- (
+ 9300) =
(Note: Here we use standared deduction)
Tax computation
Income tax =
Transcribed Image Text:TABLE 8.1 2016 Marginal Tax Rates, Standard Deductions, and Exemptions
Unmarried,
divorced, or
legally separated
Married and each
Married and both
Unmarried and paying more
than half the cost of
partner files a
separate tax return
partners file a
single tax return
supporting a child or parent
Married Filing
Separately
Married
Head of
Tax Rate
Single
Filing Jointly
Household
10%
up to $9275
up to $9275
up to $18,550
up to $13,250
15%
$9276 to $37,650
$9276 to $37,650
$18,551 to $75,300
$13,251 to $50,400
25%
$37,651 to $91,150
$37,651 to $75,950
$75,301 to $151,900
$50,401 to $130,150
28%
$91,151 to $190,150
$75,951 to $115,725
$151,901 to $231,450
$130,151 to $210,800
33%
$190,151 to $413,350
$115,726 to $206,675
$231,451 to $413,350
$210,801 to $413,350
35%
$413,351 to $415,050
$206,676 to $233,475
$413,351 to $466,950
$413,351 to $441,000
39.6%
more than $415,050
more than $233,475
mоre than $466,950
more than $441,000
Standard
Deduction
$6300
$6300
$12,600
$9300
Exemptions
(per person)
$4050
$4050
$4050
$4050
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