Problem $4(15$ points$)$

During all of $2024,$ Mr$.$ and Mrs$.$ Clay lived with their four children $($all are under the age of $17).$ They Provided over one$-$half of the support for each child. Mr$.$ and Mrs$.$ Clay file jointly for $2024.$Neither is blind, and both are under age $65.$ They reported the following tax$-$related information for the year. $($Use the tax rate schedules, $2024$ Alternative minimum tax $($AMT$)$ exemption$)$

Salary income $\backslash$$ $125,000$

Prize from local radio station $1,500$

Medical expenses $($no health insurance$)4,000$

Real estate taxes $4,200$

Alimony paid by Mr$.$ Clay $($divorced in $2015)12,000$

State income taxes withheld in $20231,800$

State income taxes paid with $2023$ tax return $($return was filed in April $2024)1,500$

Federal income tax withholding $7,500$

Qualified home mortgage interest $($acquisition debt of $300,000)15,000$

Charitable contributions $9,000$

Required

Calculate Clays' taxes payable or refund due? $($Ignore the alternative minimum tax.$)$