Question

In: Finance

Jeremy earned $102,100 in salary and $8,100 in interest income during the year. Jeremy’s employer withheld...

Jeremy earned $102,100 in salary and $8,100 in interest income during the year. Jeremy’s employer withheld $11,000 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $32,700 in itemized deductions. (Use the tax rate schedules.) Assume the original facts except that Jeremy has only $7,000 in itemized deductions. What is Jeremy’s tax refund or tax due?

Solutions

Expert Solution

Calculation of Jeremy's tax refund or Taxes due Tax liability calculation
1. Gross Income (102100+8100) 110200 13850*10%= 1385
2. For AGI deductions (52850-13850)*12%= 4680
3. Adjusted gross income 110200 (77500-52850)*22%= 5423
4.Standard deduction 18350 Total 11488
5.Itemized deductions 32700
6. Greater of standard deduction or itemized deductions 32700
7.Taxable income(110200-32700) 77500
8.Income tax liability(6065+((78400-52850)*22%) 11488 6065+((77500-52850)*22%)
9. Child tax credit 2000
10.Tax withholding by employer 11000
11.Tax refund due(8-9-10) -1512
Calculation of Jeremy's tax refund or Taxes due Tax liability calculation
1. Gross Income (102100+8100) 110200 13850*10%= 1385
2. For AGI deductions (52850-13850)*12%= 4680
3. Adjusted gross income 110200 (84200-52850)*22%= 6897
4.Standard deduction 18350 (91850-84200)*24%= 1836
5.Itemized deductions 7000 Total 14798
6. Greater of standard deduction or itemized deductions 18350
7.Taxable income(110200-18350) 91850
8.Income tax liability (12962+((91850-84200)*24%) 14798 12962+((91850-84200)*24%)
9. Child tax credit 2000
10.Tax withholding by employer 11000
11.Balance Tax due(8-9-10) 1798

Related Solutions

Jeremy earned $102,100 in salary and $8,100 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $102,100 in salary and $8,100 in interest income during the year. Jeremy’s employer withheld $11,200 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $32,700 in itemized deductions. (Use the tax rate schedules.) A.) Determine Jeremy's tax refund. B.) Assume that in addition to the original facts, Jeremy has a long-term capital gain of $14,050. What is...
Jeremy earned $101,600 in salary and $7,600 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $101,600 in salary and $7,600 in interest income during the year. Jeremy’s employer withheld $11,000 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $30,200 in itemized deductions. (Use the tax rate schedules for 2020) a. Determine Jeremy’s tax refund or taxes due. Description Amount (1) Gross income = (2) For AGI deductions = (3) Adjusted gross...
Jeremy earned $100,200 in salary and $6,200 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $100,200 in salary and $6,200 in interest income during the year. Jeremy’s employer withheld $11,000 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $23,200 in itemized deductions. A. Determine Jeremy’s tax refund or taxes due. (1) Gross income $106,400 (2) For AGI deductions 0 (3) Adjusted gross income $106,400 (4) Standard deduction 18,350 (5) Itemized deductions...
Jeremy earned $100,900 in salary and $6,900 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $100,900 in salary and $6,900 in interest income during the year. Jeremy’s employer withheld $11,200 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $26,700 in itemized deductions. (Use the tax rate schedules.) a. Determine Jeremy’s tax refund or taxes due. b. Assume that in addition to the original facts, Jeremy has a long-term capital gain of...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld $11,200 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $23,000 in itemized Deductions. a) Determine Jeremy’s tax refund or taxes due. b) Assume that in addition to the original facts, Jeremy has a long-term capital    gain of $4,000. What is Jeremy’s...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld $11,000 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremey qualifies to file as head of household. Assume the original facts except that Jeremy had only $7,000 in itemized deductions. ( use 2019 ) (1.3) Determine Jeremy’s tax refund or taxes due. You must show work. (0.3) Copy and paste the applicable...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld $11,000 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $23,000 in itemized deductions. (Use the tax rate schedules.) a. Determine Jeremy’s tax refund or taxes due. b. Assume that in addition to the original facts, Jeremy has a long-term capital gain of...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld...
Jeremy earned $100,000 in salary and $6,000 in interest income during the year. Jeremy’s employer withheld $11,000 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $23,000 in itemized deductions. Determine Jeremy’s tax refund or taxes due.
eremy earned $100,700 in salary and $6,700 in interest income during the year. Jeremy’s employer withheld...
eremy earned $100,700 in salary and $6,700 in interest income during the year. Jeremy’s employer withheld $11,000 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremy qualifies to file as head of household and has $25,700 in itemized deductions. (Use the tax rate schedules.) Problem 4-29 Part-a (Algo) a. Determine Jeremy’s tax refund or taxes due. b. Assume that in addition to the original facts, Jeremy has a...
1. Jeremy earned $95,000 in salary and $6,000 in interest income in the current year. Jeremy’s...
1. Jeremy earned $95,000 in salary and $6,000 in interest income in the current year. Jeremy’s employer withheld $11,200 of federal income taxes from Jeremy’s paychecks during the year. Jeremy has one qualifying dependent child who lives with him. Jeremey qualifies to file as head of household and has $23,000 in itemized deductions. What is Jeremy’s tax refund or taxes due? 2. Jeremy earned $95,000 in salary, $6,000 in interest income and a long-term capital gain of $4,000 during the...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT