Eric is single and has no dependents for 2020. He earned $60,000 and had deductions from gross income of $1,800 and itemized deductions of $12,600. Compute Eric’s income tax for the year using the Tax Rate Schedules.

 

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2020 Tax Rates and Amounts Tax Rate Schedules for 2020 Schedule X: Single Individuals Taxable Income Over But Not Over % on Excess of the amount over Pay $0.00 so $9,875 10% $0 9,875 40,125 987.50 12 9,875 40,125 85,525 4,617.50 22 40,125 85,525 163,300 14,605.50 24 85,525 163,300 207,350 33,217.50 32 163,300 207,350 518,400 47,36750 35 207,350 518,400 156,235 37 518,400 SCHEDULE Y-1: Married Filing Jointly and Surviving Spouses Taxable Income Over But Not Over Pay % on Excess of the amount over $0 $19,750 $0.00 10% $0 19,750 80,250 1,975 12 19,750 80,250 171,050 9,235 22 80,250 171,050 326,600 29,211 24 171,050 326,600 414,700 66,543 32 326,600 414,700 622,050 94,735 35 414,700 622,050 167,30750 37 622,050 SCHEDULE Y-2: Married Individuals Filing Separately Taxable Income Over But Not Over Pay % on Excess of the amount over $0 $9,875 $0.00 10% 9,875 40,125 98750 12 9,875 40,125 85,525 4,617.50 22 40,125 85,525 163,300 14,605.50 24 85,525 163,300 207,350 33,271.50 32 163,300 207,350 311,025 47,36750 35 207,350 311,025 83,653.75 37 311,025 SCHEDULE Z: Heads of Households Taxable Income Over But Not Over Pay % on Excess of the amount over SD $14,100 $0.00 10% 14,100 53,700 1,410 12 14,100 53,700 85,500 6,162 22 53,700 85,500 163,300 13,158 24 85,500 163,300 31,830 163,300 207350 32 207,350 518,400 45.926 35 207,350 518,400 154,793.50 37 518,400 2020 Tax Rates and Amounts Tax Rate Schedules for 2020 Schedule X: Single Individuals Taxable Income Over But Not Over % on Excess of the amount over Pay $0.00 so $9,875 10% $0 9,875 40,125 987.50 12 9,875 40,125 85,525 4,617.50 22 40,125 85,525 163,300 14,605.50 24 85,525 163,300 207,350 33,217.50 32 163,300 207,350 518,400 47,36750 35 207,350 518,400 156,235 37 518,400 SCHEDULE Y-1: Married Filing Jointly and Surviving Spouses Taxable Income Over But Not Over Pay % on Excess of the amount over $0 $19,750 $0.00 10% $0 19,750 80,250 1,975 12 19,750 80,250 171,050 9,235 22 80,250 171,050 326,600 29,211 24 171,050 326,600 414,700 66,543 32 326,600 414,700 622,050 94,735 35 414,700 622,050 167,30750 37 622,050 SCHEDULE Y-2: Married Individuals Filing Separately Taxable Income Over But Not Over Pay % on Excess of the amount over $0 $9,875 $0.00 10% 9,875 40,125 98750 12 9,875 40,125 85,525 4,617.50 22 40,125 85,525 163,300 14,605.50 24 85,525 163,300 207,350 33,271.50 32 163,300 207,350 311,025 47,36750 35 207,350 311,025 83,653.75 37 311,025 SCHEDULE Z: Heads of Households Taxable Income Over But Not Over Pay % on Excess of the amount over SD $14,100 $0.00 10% 14,100 53,700 1,410 12 14,100 53,700 85,500 6,162 22 53,700 85,500 163,300 13,158 24 85,500 163,300 31,830 163,300 207350 32 207,350 518,400 45.926 35 207,350 518,400 154,793.50 37 518,400

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1 SOLUTION 2 3 Computation of taxable income 4 partic... View the full answer