Question

Ms. Gomez earned a $91,250 salary, and Mr. Hill earned a $171,000 salary. Neither individual had any other income, and neither can itemize deductions. Assume the taxable year is 2019. Use Individual Tax Rate Schedules and Standard Deduction Table.

1. Compute Ms. Gomez and Mr. Hill’s combined tax if they file as single individuals.

2. Compute Ms. Gomez and Mr. Hill’s tax if they are married and file a joint return.

Answer 1

1) Total income of Ms. Gomez is $ 91,250

Total income of Mr.Hill is $ 171,000

If they file as single individual then they can get standard deduction $ 12,200 each.

Then, Net taxable income of Ms. Gomez is = $ 91,250 - $ 12,200 = $ 79,050

Net taxable income of Mr. Hill is = $ 171,000 - $ 12,200 = $ 158,800

Calculation for net combine tax liability of them if file as separate individuals :

Ms.Gomez	Mr. Hill
Range of Income	Tax bracket	Tax liability	Range of Income	Tax bracket	Tax liability
$ 0 to $ 9,700	10%	$ 970	$ 0 to $ 9,700	10%	$ 970
$ 9,701 to $ 39,475	12%	$ 3,573	$ 9,701 to $ 39,475	12%	$ 3,573
$ 39,476 to $ 79,050	22%	$ 8,706.5	$ 39,476 to $ 84,200	22%	$ 9,839.5
			$ 84,201 to $ 158,800	24%	$ 17,904
	Tax liability	$ 13,249.5		Tax liability	$ 32,286.5

So, their total combine tax liability = $ 13,249.5 + $ 32,286.5 = $ 45,536

2) Total income of Ms. Gomez and Mr. Hill during 2019 = $91,250 + $171,000 = $ 262,250

Less: Standard deduction = $ 24,400

Net taxable income of them = $ 237,850

Calculation for net tax liability if they are married and file a joint return :

Range of Income	Tax bracket	Tax liability
$ 0 to $ 19,400	10%	$ 1,940
$ 19,401 to $78,950	12%	$ 7,146
$ 78,951to $168,400	22%	$ 19,679
$ 168,401 to $ 237,850	24%	$ 16,668
	Total tax liability =	$ 45,433