FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Federal income taxes are allowed as an itemized deduction but are limited to $10,000?
Ture or false
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- in utilities in both cities? 7. Use the tax table on questions 7 and 8. Jenna is a part-time receptionist at the dentist's office. Her income last year was $9,125. Her tax status is single, she claims one exemption for herself, and she plans on taking the standard deduction. What is her taxable income? If line 43 And you are - (taxable income) is- At But Single least less than Your tax is- 83,000 83,000 83,050 16,967 13,131 17,379 83,050 83,100 16,981 13,144 17.393 83,100 83,150 16,995 13,156 17,407 83,150 83,200 17,009 13,169 17,421 13,181 17,435 13,194 17.449 83,200 83,250 17,023 83,250 83,300 17,037 83,300 83,350 17,081 83,350 83,400 17,065 13,206 17,463 13,219 17,477 13,231 17,491 13,244 17,505 13,256 17,519 13,269 17,533 13,281 17,547 13,294 17,561 83,400 83,450 17,079 83,450 83,550 17,093 83,500 83,550 17,107 83,550 83,600 17,121 83,600 83,650 17,135 83,650 83,700 17,149 83,700 83,750 17,163 83,750 83,800 17,177 83,800 83,850 17,191 83,850 83,900 17,205 83,900 83,950 17,219…arrow_forwardA taxpayer receives $5,000 on their federal return in taxable unemployment income. What is the amount that must be subtracted from the state return to calculate the portion taxable to the State? A. Potentially a $5,000 subtraction. The amounts need to have been taxable on the federal return and administered by California's EDD to be excludable. Unemployment received from other states is still fully taxable in most cases. B. $5,000 subtraction - California does not include amounts received from any unemployment source in State income. C. $0 subtraction - The taxpayer may, however, claim a credit for the job search costs to reduce their taxable exposure to unemployment income. D. $0 subtraction - This is taxable income to the State.arrow_forwardWhich of the following statements is true? a) If funds are withdrawn from an annuity during liquidation, no federal income tax is paid B) If funds are withdrawn from an annuity, and the annuitant is older than age 75, no federal income tax is paid C) If funds are withdrawn from an annuity during the accumulation period, no federal income tax is paid D) If funds are withdrawn from an annuity before age 591/2, there is a federal income tax penalty in addition to the ordinary income taxarrow_forward
- Follow US Tax procedure for calculations. posting for second time , previous wrong. if it is wrong , downvote sure and review will be given to the bartleby.arrow_forwardProblem 1-51 (LO 1-5) (Algo) Given the following tax structure: Taxpayer Mae Salary $ 13,000 Pedro Venita $ 26,000 $ 13,000 What tax would need to be assessed on Venita to make the tax horizontally equitable? Tax Total Tax $ 650 $ 1,690 ???arrow_forwardIn Step 1 the income tax expense of $8,750,000 is correct. The deferred tax liability and income tax payable are incorrect. In Step 2 the net income is correct.arrow_forward
- US Tax Law Taxpayer is single and has the following items: state taxes withheld, $7,500; property taxes $6,000; DMV, $500. His state tax deduction on schedule A would be A. $14,000 B. $13,500 C. $6500 D. $10,000 E. Some other amountarrow_forward11.A taxpayer is claiming tax preparation expense as a legal and professional fee. They paid $430 at your office last year. The forms breakdown by cost is as follows: Form 1040- $100 Form Sch. C- $125 Form SE- $55 Form 8867- $75 Form 8863- $75 What is the correct amount that can be deducted on their Schedule C for the current year? Choose one answer. a. $280 b. $180 c. $355 d. $430arrow_forwardA taxpayer is itemizing their return and they're trying to calculate the deductible amount of state income taxes paid. They have $4,000 from their Form(s) W-2 and they paid an outstanding balance in the current year for the prior year's balance of $2,500. What is the total amount of Line 5 income taxes that they can itemize? (Do not consider SALT limitations for this question) 2500 4000 6500arrow_forward
- Which of the following statements are NOT correct? i. A registered taxpayer can claim input tax credit for items used for its exempt activities. ii. A registered taxpayer can claim input tax credit for items used for zero-rated activities. iii. The VAT rate Exempt supplies is 0%. iv. Zero-rated goods or services are taxable for VAT at 0%. Question 6Answer a. i, ii and iv b. i, and iii c. i only d. None of the abovearrow_forwardBased on the following data, will Ann Wilton receive a federal tax refund or owe additional taxes in 2022? (Input the amount as a positive value. Round your intermediate calculations and final answer to 2 decimal places. Omit the "$" sign in your response.) Taxable Income 0-$50, 197 $50, 197-$100,392 $100,392-$155,625 $155,625-$221,708 Total income (line 15000) Net income (line 23600) Deductions to determine net income Tax Rate 15% 20.5% 26% 29% Federal income tax withheld Total non-refundable tax credit amounts, excluding medical expenses Refund + LA $120, 190 $108,740 $ 11,450 $ 18,462 $ 15,450arrow_forward1. How much is the net taxable income using itemized deductions? 2. How much is the OSD (assuming taxpayer opted to use OSD)? 3. How much is the net taxable income using OSD?arrow_forward
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