This year, Paula and Simon (married filing jointly) estimate that their tax liability will be $230,000....

This year, Paula and Simon (married filing jointly) estimate that their tax liability will be $230,000. Last year, their total tax liability was $190,000. They estimate that their tax withholding from their employers will be $198,000.

a. Are Paula and Simon required to increase their withholding or make estimated tax payments this year to avoid the underpayment penalty?

yes

no

b. By how much, if any. must Paula and Simon increase their withholding and/or estimated tax payments for the year to avoid underpayment penalties?

Increase in withholding

Expert Solution

ekkarill92 answered 9 months ago

US tax question Norm and Pat are married filing jointly and have the following sources of...

US tax question Norm and Pat are married filing jointly and have the following sources of income Wages 35000 interest income 4000 divident income 3000 social security benefits 9000 they are both over 65 years old, what is their taxable income?

Tax Computation Problem John and Mary Jane Diaz are married, filing jointly. Their address is 204...

Tax Computation Problem John and Mary Jane Diaz are married, filing jointly. Their address is 204 Shoe Lane, Blacksburg, VA 24061. John is age 35, and Mary Jane is age 30. They are expecting their first child in early 2021. John’s salary in 2020 was $105,000, from which $20,800 of Federal income tax and $4,700 of state income tax were withheld. Mary Jane made $52,000 and had $3,000 of Federal income tax and $3,100 of state income tax withheld. The...

During the year, Nate and Olivia, a married couple filing jointly, had ordinary income totaling $60,000....

During the year, Nate and Olivia, a married couple filing jointly, had ordinary income totaling $60,000. In addition, they had short-term capital losses of $2,000 and long-term capital losses of $8,600. What amount can Nate and Olivia report as a long-term capital loss carryover to the following year? A. 5.6k B 6.8k C 7.6k D 0

Tom and Betsy, who are married filing jointly, reported a standard deduction of $24,000 on their...

Tom and Betsy, who are married filing jointly, reported a standard deduction of $24,000 on their 2018 tax return. They paid $500 to the state for income taxes in 2018. In 2019, they received a $125 refund of state taxes paid in 2018. What is the amount that Tom and Betsy need to report on their 2019 tax return?

Brian and Corrine Lee are married taxpayers filing jointly. They live in the home they own,...

Brian and Corrine Lee are married taxpayers filing jointly. They live in the home they own, located at 3301 Pacific Coast Hwy., Laguna Beach, CA 92651. Brian is an optometrist who owns his business; Corrine is a social worker for Orange County. They have two sons, Brady and Hank. During their trip to China last year, they fell in love with a beautiful 1-year-old girl from an orphanage near Shanghai and are in the process of adopting her. The social...

What is Kevin & Jim's AGI as a married couple filing jointly? Kevin’s salary &

What is Kevin & Jim's AGI as a married couple filing jointly? Kevin’s salary $94,000 Jim’s salary 33,000 Municipal bond interest 2,400 Interest on C.D.s at Universal Savings 3,100 *Qualified dividend on GM stock 1,600 *Qualified dividends should be reported as both qualified and ordinary on the tax forms. Expenditures Eye exam and eyeglasses for Aubrynne 600 Orthodontic work to correct Bryson’s congenital defect 2,500 Medical insurance premiums (paid on an after tax basis) ...

Calculate the exemption amount for the following cases in 2019 for a married taxpayer filing jointly...

Calculate the exemption amount for the following cases in 2019 for a married taxpayer filing jointly and a married taxpayer filing separately. Case AMTI 1 $350,000 2 1,200,000 3 1,800,000 Click here to access the exemption table. For each case above, compute the AMT exemption for 2019. If an amount is zero, enter a "0". Case MFJ AMT Exemption MFS AMT Exemption 1 $ $ 2 $ $ 3 $ $

1. Stacie and Ryan are married and file jointly for the 2020 tax year. They have...

1. Stacie and Ryan are married and file jointly for the 2020 tax year. They have two sons. Their sons are age 10 and 14. Stacie and Ryan’s wages in total for the year was $133,000. Their employers withheld $18,000 in tax from their wages. In addition to the above, the following occurred the tax year: They moved several states away because of career relocation for Ryan. Their unreimbursed moving costs were $10,000. Stacie and Ryan pay $3,500 of the...

Bill and Janet are a married couple filing jointly in 2018 and have one child, Robert,...

Bill and Janet are a married couple filing jointly in 2018 and have one child, Robert, who is 9 years old. Robert has interest income of $3,000 in 2018. Bill and Janet’s taxable income in 2018 is $46,050 and they take the standard deduction as the only from AGI deduction. Click here to access the trust and estate tax rate schedule and the individual income tax schedules. Calculate Robert’s tax liability for 2018, assuming: a. Bill and Janet do not make...

calculate the taxable amount of social security. John and Jean are married filing jointly. They had...

calculate the taxable amount of social security. John and Jean are married filing jointly. They had the following amounts of income for 2018. Taxable interest income $10,000 Non-taxable interest income $20,000 Pension income $15,000 Social security benefits $30,000

Question