Question: Alfred E. Old and Beulah A. Crane, each age 42, married on September 7, 2016. Alfred and Beulah will fle a joint return for 2018

 Alfred E. Old and Beulah A. Crane, each age 42, married

Alfred E. Old and Beulah A. Crane, each age 42, married on September 7, 2016. Alfred and Beulah will fle a joint return for 2018 Alfred was divorced from Sarah Old in March 2016. Under the divorce agreement. Alfred is to pay Sarah $1.250 per month for the next 10 years or until Sarah's death, whichever occurs first. Alfred pays Sarah $15,000 in 2018. In addition, in January 2018, Alfred pays Sarah $50,000, which is designated as being for her share of the marital property. Also, Alfred is responsible for all prior Alfred's salary for 2018 is $150.000, and his employer, Cherry, Inc. withheld $24,900 for Federal income taxes and $8.000 for state income taxes. The proper amounts were withheld for FICA taxes Beulah recently graduated from law school and is employed by Legal Aid Society. Inc. as a public defender. She receives a salary of $42.000 in 2018. Her employer withheld $7.500 for Federal income taxes and $2.400 for state income taxes. The proper amounts were withheld for FICA taxes Alfred and Beulah had interest income of $500 and ordinary dividends of $300. They receive a $1,900 refund on their 2017 state income taxes. They itemized deductions on their 2017 Federal return (total of $15.000). Alfred and Beulah pay $4,500 interest and $1.450 property taxes on their personal residence in 2018. Their charitable contributions total $2.400 (all to their churchl. They paid sales taxes of $1.400, for which they maintain the receipts. 1. What is their AGI for 2018? 2. What is their Taxable Income for 2018? 3. What is their Tax Liability for 2018? 4. What is their Tax Due or Refunded for 2018? Paragraph

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