chapter 9 problems - 1,000 dividend income 1,000 capital...

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40) a) Gross income 20,000 child care expenses 6,500 Applicable percent 32% dependent care credit 2080 child tax credit 2000 b) Child care exp 1600 Gross income 23,000 Applicable percent 31% dependent care credit 496 child tax credit 1,000 c) for bill for debra Gross income 20,000 20,000 child care expenses 2,500 3,600 Applicable percent 32% 32% dependent care credit 800 1152 child tax credit 1,000 1000 41) a) Social security benefit 800 retirement benefit 1200 gross income 18000 Tax credit for ederly is computed as follows: max base amount 5000 less social security 800 less retirement benefit 1200 1/2 AGI In excess of 13500 2250 4250 balance for credit 750 credit allowed(750*15%) 112.5 taxable income b) 45) 100% for the 1st 2000 4000 25% for the next 2000` 1000 credit 5000 46) Nothing because her AGI is 82,000 an exceeds the 51,000 48) 58) Gross income alex salary 110,000 salary 110,000 interest on bonds 3,000 interest on bonds 3,000 dividends
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Unformatted text preview: 1,000 dividend income 1,000 capital gain 60,000 capital gain 60,000 expenses: total gross income 174,000 medical expenses 18,000 home mortgage interest 8,000 Itemized deductions consumer interest 5,000 medical expenses 4,950 deductible taxes 4,000 home mortgage intere 8,000 charitable contribution 2,000 misc deductions 1,200 deductible taxes 4,000 charitable contribution 2,000 misc deductions 1,200 total itemized deductions 20,150 personal exemptions 18500 taxable income 135,350 Alternative minimum tax comp adj to taxable income personal exemptions 18500 medical expenses 4,350 deductible taxes 4,000 misc deductions 1,200 total adj to taxable income 28050 Alternative minimum tax comp 163,400 62) b) Chapter 9 Problems 40, 41, 45, 46, 48, 58, 62 Initial Submission Due Nov 8...
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This note was uploaded on 11/26/2011 for the course INCOME TAX 4404 taught by Professor Bulie during the Spring '11 term at University of Minnesota Duluth.

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