The Lindscomb family had the following income in 2015:
Salaries: __________ Mark ______________ $63,500
...........................Ashley ......................57,900
Interest on investments:
...........................IBM bonds.............. $ 4,750
........................... New York City bond .... 1,400
........................... Savings account.......... 2,600
The family made home mortgage payments that included interest of $16,480, and paid real estate (property) tax of $4,320 on the home. They also paid state income tax of $5,860 and donated $1,250 to well-known charities. The Lindscombs have three dependent children.
a. Calculate the family's federally taxable income.
b. What is their tax liability assuming they file jointly as a married couple
c. What are their average and marginal tax rates?