Mr. and Mrs. Wilson are married with one dependent child. They report the following information for 2020:

Schedule C net profit $66,650
Interest income from certificate of deposit (CD) 2,100
Self-employment tax on Schedule C net profit 9,418
Dividend eligible for 15% rate 12,000
Mrs. Wilson’s salary from Brants Company 75,000
Dependent care credit 500
Itemized deductions 27,000
Compute AGI, taxable income, and total tax liability (including self-employment tax). Assume that Schedule C net profit is qualified business income (non-service income) under Section 199A.

Answer rating: 100% (QA)

AGI 151041 Taxable income 110711 Total tax liability including selfemployment ... View the full answer