Brock, age 50, and Erin, age 49, are married with three dependent children. They file a joint return for 2020. Their income from salaries totals $50,000, and they received $8,000 in taxable interest, $5,000 in royalties, and $3,000 in other ordinary income. Brock and Erin's deductions for adjusted gross income amount to $2,500, and they have itemized deductions totaling $19,250. Table for the standard deduction Filing Status Standard Deduction Single $12,400   Married, filing jointly 24,800   Married, filing separately 12,400   Head of household 18,650   Qualifying widow(er) 24,800   Click here to access the tax tables. Calculate the following amounts:

CONCEPTS IN FED.TAX.,2020-W/ACCESS
20th Edition
ISBN:9780357110362
Author:Murphy
Publisher:Murphy
Chapter1: Federal Income Taxation—an Overview
Section: Chapter Questions
Problem 64P: Leroy and Amanda are married and have three dependent children. During the current year, they have...
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Brock, age 50, and Erin, age 49, are married with three dependent children. They file a joint return for 2020. Their income from salaries totals $50,000, and they received $8,000 in taxable interest, $5,000 in royalties, and $3,000 in other ordinary income. Brock and Erin's deductions for adjusted gross income amount to $2,500, and they have itemized deductions totaling $19,250.

Table for the standard deduction

Filing Status Standard Deduction
Single $12,400  
Married, filing jointly 24,800  
Married, filing separately 12,400  
Head of household 18,650  
Qualifying widow(er) 24,800  

Click here to access the tax tables.

Calculate the following amounts:

a.  Gross income $fill in the blank 1
b.  Adjusted gross income $fill in the blank 2
c.  Itemized deduction or standard deduction amount $fill in the blank 3
d.  Taxable income $fill in the blank 4
e.  Income tax liability (before any credits) $fill in the blank 5
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