Question

Need help calculating income tax:

Mr. Rogers, an unmarried individual, had the following income items. Salary Interest income Dividend eligible for 20% rate $521,600 25,400 50,000 Mr. Rogers had $35,900 itemized deductions and four dependent children (ages 5 through 15). Compute his income tax (before credits). Assume the taxable year is 2019. Use Individual Tax Rate Schedules and Standard Deduction Table. (Round your intermediate calculations and final answers to the nearest whole dollar amount.) Answer is complete but not entirely correct. AGI Taxable Income Income tax $ 597,000 $ 561,100 $ 162,676 X

Answer 1

Computation of Income tax payable:
Regular Income ($561600 - $50000)
On $510300	=	$             1,53,799
On Remaining Balance ($800 X 37%)	=	$                      296
Dividend Income ($50000 X 20%)	=	$                10,000
Income tax	=	$             1,64,095