n 2021, Lisa and Fred, a married couple, had taxable income of $305,200. If they were to file separate tax returns, Lisa would have reported taxable income of $126,700 and Fred would have reported taxable income of $178,500. Use Tax Rate Schedule for reference. What is the couple’s marriage penalty or benefit?
n 2021, Lisa and Fred, a married couple, had taxable income of $305,200. If they were to file separate tax returns, Lisa would have reported taxable income of $126,700 and Fred would have reported taxable income of $178,500. Use Tax Rate Schedule for reference. What is the couple’s marriage penalty or benefit?
Chapter1: The Individual Income Tax Return
Section: Chapter Questions
Problem 8P
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Question
In 2021, Lisa and Fred, a married couple, had taxable income of $305,200. If they were to file separate tax returns, Lisa would have reported taxable income of $126,700 and Fred would have reported taxable income of $178,500. Use Tax Rate Schedule for reference.
What is the couple’s marriage penalty or benefit?
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