C12-Chp-01-3-Tax Problem and Return Preparation

C12-Chp-01-3-Tax Problem and Return Preparation - Solution...

Info icon This preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Solution 569d4a9c54a46234cf12c7b4d07b22a7424d7c96.xlsx Pam is single with one exemption. 2010 2011 Code. Regs. Salary $50,000.00 $55,000.00 §61, pg. 124 Federal income tax witheld (10,000.00) (11,000.00) §31, pg. 31 FICA withheld (7.65%) (3,825.00) (4,207.50) North Carolina Income tax withheld (2,000.00) (2,200.00) Take home pay 34,175.00 37,592.50 §6012, pg. 973 Other income (besides salary) 0.00 0.00 Tax Return Information Salary income Fm. 1040 Line 7 50,000.00 55,000.00 §61. Reg. §1.61-2 Other income Fm. 1040 Line 8-21 0.00 0.00 Gross income Fm. 1040 Line 22 50,000.00 55,000.00 Deductions for Adjusted Gross Income Lines 24-35 0.00 0.00 §62 Adjusted Gross income 50,000.00 55,000.00 Exemption Fm. 1040 Line 42 3,650.00 3,650.00 §151, pg. 201 Adjusted Gross income, less exemption 46,350.00 51,350.00 Itemized Deductions Charitable contributions Schedule A Line 16 500.00 500.00 §170(a)(1) Home mortgage interest Schedule A Line 10 3,000.00 3,000.00 §163(a), (h)(2)(D) Property taxes on home Schedule A Line 6 500.00 500.00 §164(a)(1) State income taxes Schedule A Line 5 2,000.00 2,200.00 §164(a)(3) Total itemized deductions Schedule A Line 29 6,000.00 6,200.00 Taxable income (before considering impact of state income tax refund for 2010) Line 43 $40,350.00 $45,150.00 §63 (a) Income Tax for 2010 Income Rate Tax-2010 §1, pg. 3.
Image of page 1
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern