Problem 3-37 (Algorithmic) (LO. 3, 7) Taylor, age 15, is claimed as a dependent by her parents. For 2021, she has the following income: $5,200 wages from a summer job, $1,430 interest from a money market account, and $2,100 interest from City of Chicago bonds. If required, round your answers to the nearest dollar. If required, round your answers to the nearest dollar. If an amount is zero, enter "0". Click here to access the 2021 tax rate schedule. a. Taylor's standard deduction for 2021 is $ Taylor's taxable income for 2021 is $ b. Compute Taylor's "net unearned income" for the purpose of the kiddie tax. Compute Taylor's tax liability. [Her parents file a joint return and have taxable income of $135,000 (no dividends or capital gains).]
Problem 3-37 (Algorithmic) (LO. 3, 7) Taylor, age 15, is claimed as a dependent by her parents. For 2021, she has the following income: $5,200 wages from a summer job, $1,430 interest from a money market account, and $2,100 interest from City of Chicago bonds. If required, round your answers to the nearest dollar. If required, round your answers to the nearest dollar. If an amount is zero, enter "0". Click here to access the 2021 tax rate schedule. a. Taylor's standard deduction for 2021 is $ Taylor's taxable income for 2021 is $ b. Compute Taylor's "net unearned income" for the purpose of the kiddie tax. Compute Taylor's tax liability. [Her parents file a joint return and have taxable income of $135,000 (no dividends or capital gains).]
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Problem 3-37 (Algorithmic) (LO. 3, 7)
Taylor, age 15, is claimed as a dependent by her parents. For 2021, she has the following income: $5,200 wages from a
summer job, $1,430 interest from a money market account, and $2,100 interest from City of Chicago bonds.
If required, round your answers to the nearest dollar. If required, round your answers to the nearest
dollar. If an amount is zero, enter "0".
Click here to access the 2021 tax rate schedule.
a. Taylor's standard deduction for 2021 is $
Taylor's taxable income for 2021 is $
b. Compute Taylor's "net unearned income" for the purpose of the kiddie tax.
Compute Taylor's tax liability. [Her parents file a joint return and have taxable income of $135,000 (no dividends or
capital gains).]](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4dd23321-34ae-4ae5-a05f-8180c3fa7a90%2Fc83b4147-2ad1-4a43-946d-fb9ecbd8f0ef%2Fg1ovz3m_processed.png&w=3840&q=75)
Transcribed Image Text:Problem 3-37 (Algorithmic) (LO. 3, 7)
Taylor, age 15, is claimed as a dependent by her parents. For 2021, she has the following income: $5,200 wages from a
summer job, $1,430 interest from a money market account, and $2,100 interest from City of Chicago bonds.
If required, round your answers to the nearest dollar. If required, round your answers to the nearest
dollar. If an amount is zero, enter "0".
Click here to access the 2021 tax rate schedule.
a. Taylor's standard deduction for 2021 is $
Taylor's taxable income for 2021 is $
b. Compute Taylor's "net unearned income" for the purpose of the kiddie tax.
Compute Taylor's tax liability. [Her parents file a joint return and have taxable income of $135,000 (no dividends or
capital gains).]
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