Question

QUESTION 4 Rick, who is single, has been offered a position as a city landscape consultant. The position pays $115,000 in cash wages. Assume Rick files single. Rick claims the standard deduction instead of itemized deductions. What is the amount of Rick's after tax compensation (ignore payroll taxes? QUESTIONS Rick, who is single, has been offered a position as a city landscape consultant. The position pays $110,000 in cash compensation and nontaxable (excluded) benefits worth $5,000. Assume Rick files single. Rick claims the standard deduction instead of itemized deductions. What is the amount of Rick's after-tax compensation Ognore payroll taxes)? QUESTION 6 The following three single taxpayers have income and deductions as follows: Ahmed Chin Gross income $70,000 $70,000 $ 70,000 Deductions For AGI 14,000 7.000 Iternized Deductions 7.000 14,000 Qualified Business Income Deduction 2,000 10,000 What is the Ahmed taxable income?

Answer 1

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Solution: Answes is highlighted in yellow: Due to rounding off answer can be +/-$1: As per tax year 2019: All are individual questions, although all have been answered: Particulars Amount Gross Income 115000 For AGI Deduction Adjusted Gross Income 115000 Less: Standard Deduction - 2019 -12200 Taxable income 102800 Income Tax Liability: 2019: 14382.50+(102800-84200)*24% 18847 After Tax Compensation (115000-18847) $ 96,153 or 96154 or 96153.50 Particulars Gross Income For AGI Deduction Adjusted Gross Income Less: Standard Deduction - 2019 Taxable income Income Tax Liability: 2019: 14382.50+(97800-84200)*24% After Tax Compensation (120000+5000-20046.50) Amount 110000.00 0.00 110000.00 -12200.00 97800.00 17647 $ 97,353 Or 97354 or 97353.50 Gross income Less: Deduction for AGI AGI Less: Standard deduction - 2019 Ahmed's Taxable income Ahmed 70000 14000 56000 12200 43,800 $