Diana sold mutual fund shares she had owned 4 years so that she could use to the proceeds to travel across Europe with her son. Diana is in the 35% marginal tax bracket and her capital gain from this sale were $75,258. How much tax would Diana owe on those gains?

Q: Clara received from her Aunt Sona property with an FMV at the date of the gift of $40,000. Aunt Sona…

A: Aunt Sona gifted a property to Clara Fair Market Value on date of gift = $40000 The property was…

Q: For tax purposes, "gross income" is all the money a person receives in a given year from any source.…

A:

Q: Amy and Mike, a married couple, are considering retirement; they are both aged 65 and supply the…

A: Preparing a retirement cash flow can help us to alleviate our concern and can help us from the rainy…

Q: Sherry, who is 52 years of age, opened a Roth IRA three years ago. She has contributed a total of…

A: Given that: Contribution to IRA = $12900 Current value of ROTH IRA = $21700 Amount withdrawn for…

Q: Pepa Madrigal has operated a very successful bakery for 30years, and has accumalated investment that…

A: When the income is from 10267 to 41775 then tax is 12%.

Q: Tiffany owned 10 shares of GIA stock which was selling for $150 per share when the company declared…

A: As you have posted multiple questions and not specified which one to be answered, the solution to…

Q: Rachel is single and has wages of $162,950 and dividend income of $97,770. She has no investment…

A: Formula: Gross Income = Wages income + Dividend income.

Q: Sherry, who is 52 years of age, opened a Roth IRA three years ago. She has contributed a total of…

A:

Q: Abby, a single taxpayer, purchased 10,000 shares of § 1244 stock several years ago at a cost of $20…

A: Long term capital loss:   A long-term capital gain or loss is the gain or loss stemming from the…

Q: Sherry, who is 52 years of age, opened a Roth IRA three years ago. She has contributed a total of…

A: After tax amounts are the net earnings which are left for the tax payer after paying all expenses,…

Q: Jones is seriously ill and has $6 million of property that he wants to leave to his four children.…

A:

Q: Three years ago, Kenesha purchased $10,000 worth of stock in major U.S. corporations. She spent…

A: Capital gains or losses arise when an investment is sold by the investor. If the investment is sold…

Q: Tom sold mutual shares he had owned 3 years so that he could use the proceeds to return to college.…

A: The capital gains will be treated long-term capital gains as they are held for more than 3 years.…

Q: Paul & Sally are married and have a combined household income of $80,000 per year. They're trying to…

A: TAX LIABILITY is the total amount of tax debt owed by an individual, corporation, or other entity to…

Q: Jane has $2,000 of dividend income and $3,000 of capital gains in her equity investment in 2020. Her…

A: Jana has earned total: 2000+3000=5000Since the dividend tax credit is not available for tax…

Q: Anita Anderson owns tax-free bonds valued at $12,000, which is 23% of her total investments. What is…

A: Calculation of value of total investments: Answer: Total value of investments is $52,174

Q: Samantha lives under an imputation tax system. Her income tax rate is 30%, which applies to all of…

A: Samantha 's each income is chargeable @ 30% tax rate due to imputation tax…

Q: withholdings. In addition to their other children, they adopted a 2-year old special needs child…

A: Tax Liability is the different company's taxable income as shown in the income statement and in…

Q: Calculate the amount of the 3.8 percent net investment income tax she must pay.

A: NIIT (net investment income tax)will be applied to net investment income to the extent that modified…

Q: 8.  Lisa is 17 years old and is a dependent of her parents.  She has income from a summer job of…

A:

Q: James, who is in the 35 percent marginal tax bracket with a 15 percent tax rate on dividends, owns…

A: Solution - Requirement A- James income falls under 35% bracket and Dividend income will be taxed at…

Q: Sherry, who is 52 years of age, opened a Roth IRA three years ago. She has contributed a total of…

A: Solution: Particulars  Amount Amount of Withdrawal $15,200  Non-Taxable Amount $12,900…

Q: Jan has a 35% marginal tax rate and has already recognized a STCL of $12,000 and a LTCG of $10,000,…

A: Irrespective of the marginal tax rate, capital gain tax rate on collectibles/ antiques is 28%.

Q: e. Mac and Alana are in the 32 and 12 percent marginal tax brackets for ordinary income and in the…

A: Taxpayers are allowed for deductions of investment expenses and miscellaneous itemized deductions…

Q: Marisa is 16 years old and a dependent of her parents.  She earned $5,000 of income from wages…

A: Kid’s tax: The tax cuts and jobs act made some significant changes in the way a child’s income is…

Q: Ms. Jones owns all of the shares of Jones Co. She has had the company valued and 50% of the shares…

A: In the given case, the 50% of the shares are worth $100,000 that means the worth of total shares : =…

Q: antha lives under an imputation tax system. Her income tax rate is 35%, which applies to all of her…

A: The companies pay dividend out of the net income and this is paid to shareholders but shareholder…

Q: Samuel Jenkins made two investments; the first was 13 months ago and the second was two months ago.…

A: Investment 1 - made 13 months ago -  The tax rate for long-term capital gains for taxable income of…

Q: 1.Kevone is single and works for a local tech firm. He earned $87,000 last year in taxable wages,…

A: The adjusted gross income is the net earning of the taxpayer after deductions and exemptions. The…

Q: Rachel is single and has wages of $150,000 and dividend income of $90,000. She has no investment…

A: Net investment income tax is part of income tax which is charged on the investment income like,…

Q: Lena is the sole shareholder and president of Gold Corporation, which is a C Corporation. She feels…

A:

Q: For tax purposes, "gross income" is all the money a person receives in a given year from any source.…

A: In the given Question, the tax rates shown in the table are for For Married Individuals Filing Joint…

Q: For tax purposes, "gross income" is all the money a person receives in a given year from any source.…

A: Federal tax is being paid to the US national government and not paid to the state government of the…

Q: Samuel Jenkins made two investments; the first was 13 months ago and the second was 2 months ago. He…

A: According to the given question, we are required to compute the capital gain tax for both the amount…

Q: Arnold is single and has two children in college. Maureen is a sophomore, and Rick is a junior both…

A: The following expenses shall not be included under qualified education expenses: Room and board…

Q: Pepa Madrigal has operated a very successful bakery for 30 years, and has accumulated investment…

A: Rate of tax = 12% Single taxpayer from 10276 to 41775 is taxed at the rate of 12%.

Q: ion from the trust. Julie had no other sources of income for the year. Who is liable for tax on…

A: A Discretionary Trust is a legal way which allows the settler to give their policy to the trustees…

Q: Charlene owns a 70 percent interest in Maupin Mopeds, which is organized as a partnership. She wants…

A: The problem is the tax treatment of a more than 50 percent partner with a non-liquidating…

Q: If Deshaun gifts his niece $100,000 in stock which he bought for $25,000, what is his niece's basis?

A: The basis is termed as the monetary value paid for acquiring any stock. When Mr. D purchased the…

Q: Sherry, who is 52 years of age, opened a Roth IRA three years ago. She has contributed a total of…

A: Sherry has made a withdrawal from her Roth IRA within five years of opening it, she has received a…

Q: Mr. A and Mrs. B are maried and have two dependent children. X & Y, They also fully support Mrs. B's…

A: The taxable income is the amount on which taxpayers’ tax liability is determined. The taxable income…

Q: Charles and Martha (both age 30), each saved $15,000 (pre tax) at the end of every year over their…

A: Accumulated savings refers to the amount that is put back or invested in each period and interest is…

Q: Sherry, who is 52 years of age, opened a Roth IRA three years ago. She has contributed a total of…

A: A non-qualified distribution has been given to Sherry because she withdrew money from her Roth IRA…

Q: Ten years ago, Ginny inherited $50,000 from her grandmother. She decided to invest all of this money…

A: Capital Gain = (Current value of stock - Initial value)/Initial value given: Current value of stock…

Q: Sean, a shareholder of Crimson Corporation, is single and in the 35% tax bracket. This year, he…

A: Qualified dividend is defined as the dividend which falls under the tax rates of capital gain that…

Q: Terrance and Louise are married and file a joint return, and they have one daughter who is their…

A: Series EE savings bonds are zero-coupon bonds that do not carry any interest but the difference…

Tax Deferred Retirement Benefits

It stands for Simplified Employee Pension Individual Retirement Account. This savings plan is for self-employed persons such as independent contractors, freelancers, entrepreneurs, etc. The tax rules of SEP IRA are the same as traditional IRA. Entrepreneurs can also open SEP IRA accounts for their employees and gain a tax advantage. The employees cannot make contributions to these accounts by themselves however they will be taxed upon withdrawal.