Mr. and Mrs. Wilson are married with one dependent child. They report the following information for 2016:
Question:
Mr. and Mrs. Wilson are married with one dependent child. They report the following information for 2016:
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....................................................................................15,000
Compute AGI, taxable income, and total tax liability (including self-employment tax).
Step by Step Answer:
Principles Of Taxation For Business And Investment Planning 2017
ISBN: 9781259753015
20th Edition
Authors: Sally M. Jones, Shelley C. Rhoades Catanach, Sandra R. Callaghan