ZuoTi.Pro
Question

Mr. and Mrs. Willet will file their 2020 tax return as married filing joint. They have...

Mr. and Mrs. Willet will file their 2020 tax return as married filing joint. They have an AGI of 35,000, tax exempt income of 2,000, and social security benefits of 15,000 for the year. What amount of their social security benefits must they include in their taxable income? HELP!! ASAP

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Based on the information available in the question, we can answer as follows:-

For the purposes of determining the amount of the social security benefits that is taxable, first, we can calculate the combined income :-

Combined Income = AGI + Non taxable income.

Combined Income = $35,000 + $2,000

Combined Income = $37,000

Per IRS, for married individuals with an AGI greater than $32,000 and less than $44,000 , 85% of the social security benefits are included in the Gross income and are taxable. Per this consideration, the amount of social security benefits they should include in their taxable income is $15,000 * 85% = $12,750

Hence, the answer is $12,750.

Please let me know if you have any questions via comments and all the best :)

0 0
Add a comment
Know the answer?
Add Answer to:
Mr. and Mrs. Willet will file their 2020 tax return as married filing joint. They have...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • a. Erwin and Eleanor are married and file a joint tax return. They have adjusted gross...

    a. Erwin and Eleanor are married and file a joint tax return. They have adjusted gross income of $43,000, no tax-exempt interest, and $15,050 of Social Security benefits. As a result, $ of the Social Security benefits are taxable. b. Assume Erwin and Eleanor have adjusted gross income of $17,800, no tax-exempt interest, and $19,580 of Social Security benefits. As a result, $ of the Social Security benefits are taxable. c. Assume Erwin and Eleanor have adjusted gross income of...

  • Erin receives Social security income. she is married filing a joint return for the tax year....

    Erin receives Social security income. she is married filing a joint return for the tax year. what base amount does she apply in calculating the taxable portion of social security income under rule 1?

  • a. 54. LO.4,5 Linda and Don are married and file a joint return. In 2020, they...

    a. 54. LO.4,5 Linda and Don are married and file a joint return. In 2020, they received $12,000 in Social Security benefits and $35,000 in taxable pension benefits ncome and interest Compute the couple's adjusted gross income on a joint return. b. Don would like to know whether they should sell for $100,000 (at no gain or loss) a corporate bond that pays 8% in interest each year and use the proceeds to buy a $100,000 nontaxable State of Virginia...

  • Mr. and Mrs. Davos file a joint tax return. Each spouse contributed $3,200 to a traditional...

    Mr. and Mrs. Davos file a joint tax return. Each spouse contributed $3,200 to a traditional IRA. Required: In each of the following cases, compute the deduction for these contributions. The AGI in each case is before any deduction. a. Neither spouse is an active participant in a qualified retirement plan, and their AGI is $130,000. b. Mr. Davos is an active participant, but Mrs. Davos is not. Their AGI is $130,000. c. Both spouses are active participants, and their...

  • . Mr. and Mrs. DM file a joint tax return. They are both under the age...

    . Mr. and Mrs. DM file a joint tax return. They are both under the age of 50. Each spouse contributed $6,000 to a traditional IRA. In each of the following cases, compute the deduction for these contributions. The AGI in each case is before any deduction. a) Neither spouse is an active participant in a qualified retirement plan and their AGI is $140,000. b) Mr. DM is an active participant in a qualified retirement plan but Mrs. DM is...

  • Amy and Ethan are married and file a joint return for 2020. Their taxable income is...

    Amy and Ethan are married and file a joint return for 2020. Their taxable income is $192,100. The amount of their tax liability, rounded to the nearest dollar, is $

  • Need some help please. I tried 7,280, 12,160 and 12,376 are all wrong Determine the taxable...

    Need some help please. I tried 7,280, 12,160 and 12,376 are all wrong Determine the taxable amount of social security benefits for the following situations. If required, round your answers to the nearest dollar. If an amount is zero, enter "O". a. Erwin and Eleanor are married and file a joint tax return. They have adjusted gross income of $41,600, no tax-exempt interest, and $14,560 of Social Security benefits. As a result, $ 7,280 X of the Social Security benefits...

  • I am needing some help figuring out the blanks. I have been working on this problem...

    I am needing some help figuring out the blanks. I have been working on this problem for a couple of hours and was hoping someone can walk me through it. Thank You Exercise 4-26 (Algorithmic) (LO. 4) Determine the taxable amount of social security benefits for the following situations. If required, round your answers to the nearest dollar. If an amount is zero, enter "0". a. Erwin and Eleanor are married and file a joint tax return. They have adjusted...

  • Determine the taxable amount of Social Security benefits for the following situations. If required, round your...

    Determine the taxable amount of Social Security benefits for the following situations. If required, round your answers to the nearest dollar. If an amount is zero, enter "0". a. Erwin and Eleanor are married and file a joint tax return. They have adjusted gross income of $39,200, no tax-exempt interest, and $13,720 of Social Security benefits. As a result, $ of the Social Security benefits are taxable. b. Assume Erwin and Eleanor have adjusted gross income of $15,000, no tax-exempt...

  • Mr. Olaf earned an $89,000 salary, and Mrs. Olaf earned a $40,330 salary. The couple had...

    Mr. Olaf earned an $89,000 salary, and Mrs. Olaf earned a $40,330 salary. The couple had no other income and can’t itemize deductions. Assume the taxable year is 2020. Use Individual Tax Rate Schedules and Standard Deduction Table. Required: Compute their combined tax if they choose to file separate returns. Compute their tax if they file a joint return. Married filing jointly and surviving spouses Married filing separately Head of household Single $24,800 12,400 18,650 12,400

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT