Question

John and Sarah are married and earned salaries this year of $64,000 and $12,000, respectively. In addition to their salaries, they received interest of $350 from municipal bonds and $500 from corporate bonds. John contributed $2,500 to an individual retirement account, and John paid alimony to a prior spouse in the amount of $1,500 (under a divorce decree effective June 1, 2005). John and Sarah have a 10-year-old son, Michael, who lived with them throughout the entire year. Thus, John and Sarah are allowed to claim a $2,000 child tax credit for Michael. John and Sarah paid $6,000 of expenditures that qualify as itemized deductions and they had a total of $3,500 in federal income taxes withheld from their paychecks during the year.

Need to know if I filled this out correctly. I think I did but double-checkUr. lui Tantum TOMB NO. 1545-0074 IRS Use Only-Do not write or staple in this space. Filing Status Single Married filing join16 Savings Form 1040 (2019) Page 2 12a Tax (see inst.) Check if any from Form(s): 1 8814 2 4972 3 D 12a х b Add Schedule 2, l

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Verification of Form 1040(2019)

I have checked and Completely verified your Form 1040(2019) with double checked and i have found some mistakes

  • You have wrongly calculated tax Liability $5,377 instead of $5,384 (which has been highlighted below)
  • Accordingly your amount of refund also incorrect (Highlighted Below)

Apart from above everything is perfect.

Computation of Tax Payable (Refund) of John and Sarah for the year 2019

Particulars

Amount in $

Computation

(1) Gross income

76,500

  • $64,000 salary + $12,000 salary + $500 corporate bond interest
  • Interest received from municipal bonds of $350 shall not be taxable

(2) For AGI deductions

4,000

$2,500 individual retirement account + $1,500 alimony paid

(3) Adjusted gross income

72,500

(1) – (2)

(4) Standard deduction

24,400

For 2019,Standard deduction.

Married filing jointly or qualifying widow(er) $24,400

(5) Itemized deductions

6,000

(6) Greater of standard deductions or itemized deductions

24,400

(4) > (5)

(7) Taxable income

48,100

(3) - (6)

(8) Income tax liability

5,384

$1,940 plus 12% of the excess over $19,400

=$1,940+12%(48,100-19,400)

(9) Child Tax Credit

2,000

Child credit for 10-year old son Michael

(10) Withholding Tax

3,500

Total of $3,500 in federal income taxes withheld from their paychecks during the year.

(11)Tax Payable (Refund)

(116)

(8) - (9) - (10)

Note

1. Tax Rate for 2019 Year

Married Filing Jointly Taxable income Tax Due $ to $ 19,400 10% of Taxable income $ 19,401 to $ 78,950 $ 1,940 plus 12% of th

Add a comment
Know the answer?
Add Answer to:
John and Sarah are married and earned salaries this year of $64,000 and $12,000, respectively. In...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Marc and Michelle are married and earned salaries this year of $74,000 and $15,750, respectively. In...

    Marc and Michelle are married and earned salaries this year of $74,000 and $15,750, respectively. In addition to their salaries, they received interest of $350 from municipal bonds and $1,750 from corporate bonds. Marc contributed $3,750 to an individual retirement account, and Marc paid alimony to a prior spouse in the amount of $2,750. Marc and Michelle have a 10-year-old son, Matthew, who lived with them throughout the entire year. Thus, Marc and Michelle are allowed to claim a $2,000...

  • You are to prepare a tax return using the following information. You will need to use...

    You are to prepare a tax return using the following information. You will need to use Form 1040, Schedule B if applicable, you determine (Read requirements in text). John Brown, age 53, (social security number 554-78-4556) is single and is supporting his 18 year old son, David (social security number 444-55-7777). David is a student at MirMonte High School. They live in a rented home at 1245 West 5Th Street, Coalinga, CA. John is employed as a engineer and received...

  • Alfred E. Old and Beulah A. Crane, each age 42, married on September 7, 2016. Alfred...

    Alfred E. Old and Beulah A. Crane, each age 42, married on September 7, 2016. Alfred and Beulah will file a joint return for 2018. Alfred's Social Security number is 111-11-1112. Beulah's Social Security number is 123-45-6789, and she adopted "Old" as her married name. They live at 211 Brickstone Drive, Atlanta, GA 30304. Alfred was divorced from Sarah Old in March 2016. Under the divorce agreement, Alfred is to pay Sarah $1,250 per month for the next 10 years...

  • Required information (The following information applies to the questions displayed below.) Marc and Michelle are married...

    Required information (The following information applies to the questions displayed below.) Marc and Michelle are married and earned salaries this year of $64,000 and $12,000, respectively. In addition to their salaries, they received interest of $350 from municipal bonds and $500 from corporate bonds. Marc contributed $2,500 to an individual retirement account, and Marc paid alimony to a prior spouse in the amount of $1,500 (under a divorce decree effective June 1, 2005). Marc and Michelle have a 10-year-old son,...

  • Form 1040 Complete Patty's Form 1040 Form Department of the Treasury-Internal Revenue Service (99) 1040 U.S....

    Form 1040 Complete Patty's Form 1040 Form Department of the Treasury-Internal Revenue Service (99) 1040 U.S. Individual Income Tax Return2018 OMB No. 1545-0074 IRS Use Only Filing status: Single Your first name and initial Patty Your standard deduction: None Your social security number 466-33-1234 Last name Banyan If joint return, spouse's first name and initial Last name Spouse's social security number Full-year health care coverage or exempt (see inst.) Spouse standard deduction: None Home address (number and street). If you...

  • is problem is for the 2018 tax year. Alfred E. Old and Beulah A. Crane, each...

    is problem is for the 2018 tax year. Alfred E. Old and Beulah A. Crane, each age 12, married on September 7, 2016. Alfred and Beulah will file a joint return for 2018. Alfred's Social Security number is 111-11-1109. Beulah's Social Security number is 123-45-6780, and she adopted old as her married name. They live at 211 Brickstone Drive, Atlanta, GA 30304 Alfred was divorced from Sarah Old in March 2016. Under the divorce agreement, Alfred is to pay Sarah...

  • what amount goes on 12a Tax? 1040 of 2019 1040 for a couple Married Filing Jointly...

    what amount goes on 12a Tax? 1040 of 2019 1040 for a couple Married Filing Jointly with no dependents. 1040 PG 1 1040 PG 2 Page 2 of Form 1040. Some information does not carry over from Page 1 Form 1040 (2019) Holloway Holloway 412-34-5670 Page 2 John 12a Tax (see inst. Check it any from Form(s) (1) 8814 Martha 12) 4972 (3) 3,677 ® b Add Schedule 2. line 3, and line 12 and enter the total 3,677 13a...

  • PLEASE SHOW WORK ASAP PLEASE SHOW WORK ASAP Award: 33.33 points Jose and Dora Hemandez are...

    PLEASE SHOW WORK ASAP PLEASE SHOW WORK ASAP Award: 33.33 points Jose and Dora Hemandez are married filing jointly. They are 50 and 45 years old, respectively. Their address is 32010 Lake Street, Atlanta, GA 30294. Additional information about Mr. and Mrs. Hemandez is as follows: Social security numbers: Jose: 412-34-5670 Date of birth: 4/23/1968 W-2 for Jose shows these amounts Dora: 412-34-5671 Date of birth: 7/12/1973 W-2 for Dora shows these amounts: wages (box 1) = $45,800.00 Federal W/H...

  • Required information [The following information applies to the questions displayed belowj John and Sandy Ferguson got...

    Required information [The following information applies to the questions displayed belowj John and Sandy Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2018, John worked as a computer technician at a local university earning a salary of $153,500, and Sandy worked part-time as a receptionist for a law firm earning a salary of $30,500. John also does some Web design work on the side and reported revenues of $5,500 and associated expenses of $1,500. The...

  • PLEASE SHOW WORK ASAP Margaret O'Hara has been divorced for about two years. She is 28...

    PLEASE SHOW WORK ASAP Margaret O'Hara has been divorced for about two years. She is 28 years old, and her address is 979 Adams Street, Jacksonville, FL 32202. Additional information about Ms. O'Hara is as follows: Social security number: 412-34-5670 Date of birth: 6/17/1990 Alimony received- $24,000.00 W-2 for Margaret shows these amounts: Wages (box 1)-$38,000.00 Federal W/H (box 2)-$ 7,820.00 Social security wages (box 3)-$38,000.00 Social security W/H (box 4) 2,356.00 Medicare wages (box 5)-$38,000.00 Medicare W/H (box 6)-...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT