Questions from Federal Taxation

Q: Trevor is an English professor at Clayton College. His adjusted gross

Trevor is an English professor at Clayton College. His adjusted gross income for the year is $58,000 including $5,000 he won at the racetrack. Trevor incurs the following during the year: Investmen...

Q: Edna works as a marketing consultant. In her spare time,

Edna works as a marketing consultant. In her spare time, she enjoys painting. Although she sells some of her work at local craft shows, she either displays most of her paintings at home or gives the...

Q: Lee is a college professor with an adjusted gross income of $

Lee is a college professor with an adjusted gross income of $32,000. Lee has a lot of bad luck this year. First, a tornado blows the roof off of his house, causing $4,900 in damage. His insurance c...

Q: Michael owns a hair salon. During the current year, a

Michael owns a hair salon. During the current year, a tornado severely damages the salon and destroys his personal automobile, which is parked outside. It costs Michael $12,000 to make the necessary...

Q: Orley is a single individual with no dependents who has an adjusted

Orley is a single individual with no dependents who has an adjusted gross income of $279,000 in 2017. Orley's itemized deductions total $19,400, which includes $1,200 in deductible medical costs and...

Q: Jeff and Marion are married with 3 dependents. Their adjusted gross

Jeff and Marion are married with 3 dependents. Their adjusted gross income in 2017 is $338,300. Their itemized deductions total $34,600, including $4,900 in investment interest. a. What is their 2017...

Q: Determine the taxable income of each of the following dependents in 2017

Determine the taxable income of each of the following dependents in 2017: a. Louis is 12 and receives $1,250 in interest income. b. Jackson is 16. He earns $2,050 from his newspaper route and receiv...

Q: For each of the dependents in problem 63, calculate the income

For each of the dependents in problem 63, calculate the income tax on their taxable income. In each case, assume that their parents' taxable income is $128,000. Data from Problem 63: Determine the...

Q: Calculate the 2017 tax liability and the tax or refund due for

Calculate the 2017 tax liability and the tax or refund due for each situation: a. Mark is single with no dependents and has a taxable income of $60,000. He has $10,700 withheld from his salary for t...

Q: State whether each of the following payments is a tax. Explain

State whether each of the following payments is a tax. Explain your answers. a. To incorporate his business, Alex pays the state of Texas a $2,000 incorporation fee. b. The city paves a road and asses...