Diego, age 28, married Dolores, age 27, in 2021. Their salaries for the year amounted to $48,000. They had dividend income of $2,500. Diego and Dolores' deductions for adjusted gross income amounted to $3,000, their itemized deductions were $16,000, and they have no dependents. Their 2021 EIP was equal to the 2021 RRC. Table for the standard deduction Filing Status Standard Deduction Single $12,550   Married, filing jointly 25,100   Married, filing separately 12,550   Head of household 18,800   Qualifying widow(er) 25,100   d.  What is their tax liability for 2021?

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Diego, age 28, married Dolores, age 27, in 2021. Their salaries for the year amounted to $48,000. They had dividend income of $2,500. Diego and Dolores' deductions for adjusted gross income amounted to $3,000, their itemized deductions were $16,000, and they have no dependents. Their 2021 EIP was equal to the 2021 RRC.

Table for the standard deduction

Filing Status Standard Deduction
Single $12,550  
Married, filing jointly 25,100  
Married, filing separately 12,550  
Head of household 18,800  
Qualifying widow(er) 25,100  

d.  What is their tax liability for 2021?

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