Question

Required Information [The following Information applies to the questions displayed below.) Whitney received $74.200 of taxable income in 2018. All of the income was salary from her employer. What is her Income tax liability In each of the following alternative situations? Use Tax Rate Schedule for reference. (Do not round Intermediate calculations. Round your answer to 2 decimal places.) a. She files under the single filing status. Income tax liability

Answer 1

Ans:

A). Taxable income-= $74,200

Status of filing= single

As per tax slab: $4,453.50+ 22% of(74,200-38,700)

:$4,453.50+ 22% (35,500)

: $4,453.50+ 7,810

: $ 12,263.50

B). Taxable income= $74,200

Status of filing = Jointly tax return

As per tax slab : $1,905.+12% (74,200-19,050)

: $1,905.+ 12% of (55,150)

: $1,905+ $6,618

:$ 8,523

C). Taxable income= $74,200

Status of filing: Married filing but separately

As per tax slab: $4,453.50+ 22% of(74,200-38,700)

: $4,453.50+ 22% of (35,500)

: $4,453.50+ 7,810

: $12,263.50

D). Taxable income= $74,200

Status of filing = head of household

As per tax slab: $5,944+ 22% of(74,200-51,801)

: $5,944+ 22% of (22,399)

: $5,944+ 4,927.78

: $10,871.78