ACC 330 Module Two Income Assignment

Question content area top Part 1 Determine how much the following individual will save in taxes with the specified tax credits or deductions.   Rosa is in the 28% tax bracket and claims the standard deduction. How much will her tax bill be reduced if she makes a $500 contribution to​ charity?

Question #72 of 85   Question ID: 1251879 Jamie has an adjusted gross income this year of $40,000. He would like to reduce his income taxes. During the year, he plans to contribute property valued at $20,000 to the National Federation for the Blind, a qualified public charity. Which one of the following statements regarding the income tax implications for Jaime of a charitable gift is correct?     A) If Jamie gave an interest in a parcel of commercial real estate, held short term, with a fair market value of $20,000 and a basis of $15,000, he can deduct either the fair market value of the property or his basis in this property.     B) If Jamie gave a life insurance policy, with a replacement cost of $20,000, on which he has paid net premiums of $5,500, he could deduct either $20,000 or $5,500.     C) If Jamie gave a collection of first edition books in braille (which the charity would display in its collection), held long term, valued at $20,000 with a basis of $9,000, he…

Problem 3: Determine Taxable Income Jules Winfield is a single taxpayer who maintained a home for his dependent daughter who was not a full-time student. The daughter lives with Jules for 8 months of 2022. During 2022 he had an AGI of $100,000 and reported the following expenditures: Expenditures State Income Taxes Contribution to a traditional individual retirement account (IRA) Charitable Contributions 6,000 4,000 8,000 ADDITIONAL INFORMATION For any item you determine is an allowable deduction, you can deduct the entire amount. Required: Determine Jules' taxable income for 2022.

Question Content Area Victor and Maggie file a joint tax return for 2022 with adjusted gross income of $104,000. Victor and Maggie earned income of $30,000 and $74,000, respectively, during 2022. In order for both parents to be gainfully employed, they pay the following child care expenses for their 4-year-old son, J.J.:   Union Day Care Center $6,700Wendy (Victor's mother) for babysitting 4,000   What is the amount of the child and dependent care credit they should report on their tax return for 2022 (assume no tax liability limitation)?   a. $780   b. $3,745   c. $3,000   d. $2,899

Self-Study Problem 1.7 What is the net effect of the EIP (economic impact payment) and RRC (recovery rebate credit) on each of the following taxpayers. The EIP is $1,400 for single taxpayers and $2,800 for married, filing jointly taxpayers. An additional $1,400 is allowed for each qualifying child. 1. Mirka and Liam are married and file jointly with AGI of $97,000 in 2021. In 2021 they received an EIP of $4,200 based on their filing status and having a dependent child at the end of 2020. 2. Phoebe was a dependent taxpayer in 2020 and had not filed a tax return. In 2021, she failed to request and did not receive an EIP, although she was no longer a dependent and had AGI of $28,000 as a single taxpayer. 3. Mahima received a $1,400 EIP in 2021. Due to the birth of her son in 2021, Mahima was classified as a head of household taxpayer with AGI of $47,000. 4. Jane and Marshall file jointly in 2021 and claim two dependents. They received a $5,600 EIP in 2021. Jane received a large bonus in…

25. John withdrew $16,000 from a 529 plan for his 12-year-old son, John Jr. John Jr. is in 6th grade and attends a private middle school. Assuming that the $16,000 is all earnings in the 529 plan, how much of the distribution would be considered taxable income? a. $6,000 b. $16,000 c. $0 d. $8000

Module 2: Filing Requirements Question 3 of 15. Joseph and Lorena are married and lived together for the entire year in California. Joseph earned $44,000 in wages, and Lorena eamed $20,000 in wages. They will file separ his separate federal and California tax returns? Ⓡ $20,000 $32,000 $44,000 $54,000 Mark for follow up

Self-Study Problem 2.13 A taxpayer (payor ex-spouse) is required to pay an ex-spouse (recipient ex-spouse) alimony of $12,000 per year. Determine how much alimony is deductible by the payor ex-spouse and how much alimony is recognized as income by the recipient ex-spouse based on the following information: If an answer is zero, enter "0". Details a. The payments are made in 2021 as part of a divorce decree executed in 2018. The divorce decree is modified in 2021 to explicitly apply the provisions of the TCJA. b. The payments are made in 2021 as part of a divorce decree executed in 2016. c. The payments are made in 2021 as part of a divorce decree executed in 2021. Deductible by payor Includable by recipient 00 00

QUESTION 8 Ellen, age 48, is a single taxpayer. She is self-employed. She has business profit of $50,000. She wants to make the maximum contribution to her SEP IRA. How much can she contribute? $9,294 $8,587 $10,000 $9,235

Question 23 Tim and George file their tax return as married filing jointly. Their combinedAGI i 57.500. They have medical expenses as folows Preseription Medications $600 Dental Care $4,500 Emergency Room Vinits S1,500 X-Rays and Imaging S800 They received reimbursements from their insurance company in the amount of S1.651. How much can they claim as a deduction for medical expenses (after 1imitations)? a) $0 O b) $1,436 c) $5,749 d) $7,400 Question 24 ( Caroline, a single taxpayer, owns 2,000 shares of qualifying small business stock that she purchased for S230,000. During the current year, she sells 800 of the shares for $35,000. If this is the only stock Caroline sells during the year, what can she deduct as an ordinary and capital loss? a) Ordinary loss Capital loss $57,000 $-0- b) Ordinary loss Capital loss $50,000 $3,000 c) Ordinary loss Capital loss $50,000 $7,000 d) Ordinary loss Capital loss $-0- $3,000 e) Ordinary loss Capital loss $-0- $60,000

Problem 6-20 (Algorithmic) Computing the 0.9 Percent Medicare Tax for High-Income Taxpayers (LO 6.8) Married taxpayers Otto and Ruth are both self-employed and file a joint return. Otto earns $380,600 of self-employment income and Ruth has a self-employment loss of $28,700. How much 0.9 percent Medicare tax for high-income taxpayers will Otto and Ruth have to pay with their 2021 income tax return? If required, round your final answer to nearest dollar.

o $275 Cash contributions to the Red Cross o $200 Fair market value of clothing in good condition donated to the Salvation Army (Helen purchased the clothing for o $7,300 Mortgage interest o $2,300 Real estate tax o $150 Homeowners association fees o $3,000 Gambling losses 12. What amount of gambling losses is Helen eligible to claim as a deduction on her Schedule A? a. $0 b. $1,000 $2,000 O d. $3,000