Question: Social Security Benefits ( LO 2 . 1 6 ) During the 2 0 2 3 tax year, Dalano, a single taxpayer, received $ 7

Social Security Benefits (LO 2.16) During the 2023 tax year, Dalano, a single taxpayer, received $7,600 in Social Security benefits. Their adjusted gross income for the year was $14,700(not including the Social Security benefits) and they received $30,000 in tax-exempt interest income and has no AGI deductions. Complete the worksheet below to calculate the amount of the Social Security benefits that Dalano must include in his gross income for 2023. If an amount is zero, enter "0". SIMPLIFIED TAXABLE SOCIAL SECURITY WORKSHEET (FOR MOST PEOPLE) Description Amount 1. Enter the total amount of Social Security income. $fill in the blank 12. Enter one-half of line 1. fill in the blank 23. Enter the total of taxable income items on Form 1040 except Social Security income. fill in the blank 34. Enter the amount of tax-exempt interest income. fill in the blank 45. Add lines 2,3, and 4. fill in the blank 56. Enter all adjustments for AGI except for student loan interest deduction. fill in the blank 67. Subtract line 6 from line 5. If zero or less, stop here, none of the social security benefits are taxable. fill in the blank 78. Enter $25,000($32,000 if married filing jointly; $0 if married filing separately and living with spouse at any time during the year). fill in the blank 89. Subtract line 8 from line 7. If zero or less, enter 0. fill in the blank 9 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 filing jointly; $0 if married filing separately and living with spouse at any time during the year). fill in the blank 1011. Subtract line 10 from line 9. If zero or less, enter 0. fill in the blank 1112. Enter the smaller of line 9 or line 10. fill in the blank 1213. Enter one-half of line 12. fill in the blank 1314. Enter the smaller of line 2 or line 13. fill in the blank 1415. Multiply line 11 by 85%(.85). If line 11 is zero, enter 0. fill in the blank 1516. Add lines 14 and 15. fill in the blank 1617. Multiply line 1 by 85%(.85). fill in the blank 1718. Taxable benefits. Enter the smaller of line 16 or line 17.

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