during the year, Dalano, a single taxpayer, received $$7,600$ in Social Security benefits. his adjusted gross income for the year was $$14,700($ not including Social Security benefits$)$ and he received $$30,000$ in tax exempt interest income and has no AGI deductions. complete the chart below.

$1.$Enter the total amount of Social Security income.

$2.$ Enter one$-$half of line $1.$

$3.$ Enter the total of taxable income items on Fortm $1040$ except Socal sacurity income.

$4.$ Enter the amount of tax$-$exempt interest income.

$5.$ add lines $2,3,$ and $4.$

$6.$ Enter all adjustments for AGl except for student loan interest deduction,

$7.$ Subtract line $6$ from line $5.$ if zero or less, stop here, none of the social security benefits are taxable.

$8.$ Enter $$25,000($ $$32,000$ if married filing jointly: $$0$ if married filing separately and living with spouse at any time during the year$).$

$9.$ Subtract line $8$ from line $7.$ If zero of less, enter $-0$

Note: If line $9$ is zero or less, stop here; none of your benefits are taxable.

Otherwise, go on to line $10.$

$10.$ Enter $$9,000($ $$12,000$ if married fing jointly: $$0$ if married filing separately and Fiving with spouse at any time during the year$).$

$11.$ Subtract line $10$ from line $9.$ If zero or less, enter $-0=$

$12.$ Enter the smaller of line $9$ or line $10.$

$13.$ Enter one$-$half of line $12.$

$14.$ Enter the smaller of line $2$ or lire $13.$

$15.$ Multiply line $11$ by $85\%\mathrm{.}85$ if line $11$ is zero enter $-0-$

$16$ add lines $14$ and $15.$

$17.$ multiply line $1$ by $85\%\mathrm{.}85$

$18.$ taxable benefits. enter the smaller of line $16$ or line $17.$