Question

Jorge and Anita, married taxpayers, earn $145,000 in taxable income and $40,000 in interest from an investment in City of Heflin bonds. Using the U.S. tax rate schedule for married filing jointly, how much federal tax will they owe?

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Answer 1

Ans. Gross Total Income of Jorge and Anita- $145,000 + $40,000 = $185,000

Therefore, federal tax liability- ($185,000 - $168,400) x 24% = $3,984