eBook Exercise 28-12 (Algorithmic) (LO. 1) The entity reports the following transactions for the 2020 tax year. The trustee accumulates all accounting income for the year. Operating income from a business $535,000 Dividend income, all from U.S. corporations 32,100 (20% tax rate) Interest income, City of San Antonio bonds 4,280,000 Fiduciary fees, deductible portion (16,050) Net rental losses, passive activity (107,000) Click here to access tax table for this problem. Carryout the tax computations to two decimal places and round the final tax liability to the nearest dollar. Compute the Federal income tax liability for the Valerio Trust by providing the following amounts: The amount of the fiduciary's gross income taxed at 20% for the Valerio Trust is The fiduciary taxable income taxed at ordinary rates for the Valerio Trust is $ The Federal income tax liability for the Valerio Trust is $ 32, 100 518,850 Income Tax Rates-Estates and Trusts Tax Year 2020 Taxable income The Tax is: of the Amount Over- But not Over- Over- $ 0 2,600 9,450 12,950 $ 2,600 9,450 12,950 10% $ 260.00 + 24% 1,904.00 + 35% 3,129.00 + 37% $ 0 2,600 9,450 12,950 RE Tax Year 2019 Taxable income The Tax Is: of the Amount Over- But not Over- Over- $ 0 2,600 9,300 12,750 $ 2,600 9,300 12,750 10% $ 260.00+ 24% 1,868.00 + 35% 3,075.50 +379 $ 0 2,600 9,300 12,750