Required: What are the Fergusons’ 2022 federal income taxes payable or refund, including any self-employment tax and AMT, if applicable? Complete Form 1040 (starting from line 15 “taxable income”) for Sandy and John.
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The problem in the textbook is modified as below:
Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. They file a joint return. In 2022, Sandy worked as a computer technician at a local university earning a salary of $152,000, and John worked part time as a receptionist for a law firm earning a salary of $29,000. Sandy also does some Web design work on the side and reported revenues of $4,000 and associated expenses of $750. The Fergusons always itemize their deductions, and their itemized deductions were well over the standard deduction amount last year. The Fergusons reported making the following payments during the year:
- Sandy Ferguson’s earned income = Salary $152,000 + Net earnings from self-employment (= net business income × 92.35%).
- Applicable percentage is 20%.
- Assume the child and dependent care credit is entered on line 20 in Form 1040.
Required: What are the Fergusons’ 2022 federal income taxes payable or refund, including any self-employment tax and AMT, if applicable? Complete Form 1040 (starting from line 15 “taxable income”) for Sandy and John.
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- Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2022, Sandy worked as a computer technician at a local university earning a salary of $153,700, and John worked part time as a receptionist for a law firm earning a salary of $30,700. Sandy also does some Web design work on the side and reported revenues of $5,700 and associated expenses of $1,600. The Fergusons received $1,140 in qualified dividends and a $285 refund of their state income taxes. The Fergusons always itemize their deductions, get the full benefit of deducting the entire amount of state income taxes paid, and their itemized deductions were well over the standard deduction amount last year. Use Exhibit 8-10, Tax Rate Schedule, Dividends and Capital Gains Tax Rates, 2022 AMT exemption for reference. The Fergusons reported making the following payments during the year: • State income taxes of $4,825. Federal tax withholding of $21,000. • Alimony payments to Sandy's former…Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2022, Sandy worked as a computer technician at a local university, earning a salary of $152,200, and John worked part time as a receptionist for a law firm, earning a salary of $29,200. Sandy also does some Web design work on the side and reported revenues of $4,200 and associated expenses of $850. The Fergusons received $800 in qualified dividends and a $210 refund of their state income taxes. The Fergusons always itemize their deductions, get the full benefit of deducting the entire amount of state income taxes paid, and their itemized deductions were well over the standard deduction amount last year. Use Exhibit 8-10. Tax Rate Schedule, Dividends and Capital Gains Tax Rates, 2022 AMT exemption for reference. The Fergusons reported making the following payments during the year: State income taxes of $4,450. Federal tax withholding of $21,000. Alimony payments to Sandy's former spouse…Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2023, Sandy worked as a computer technician at a local university earning a salary of $153,500, and John worked part time as a receptionist for a law firm, earning a salary of $30,500. Sandy also does some Web design work on the side and reported revenues of $5,500 and associated expenses of $1,500. The Fergusons received $1,100 in qualified dividends and a $275 refund of their state income taxes. The Fergusons always itemize their deductions, get the full benefit of deducting the entire amount of state income taxes paid, and their itemized deductions were well over the standard deduction amount last year. Use Exhibit 8-10, Tax Rate Schedule, Dividends and Capital Gains Tax Rates, 2023 AMT exemption for reference. The Fergusons reported making the following payments during the year: • State income taxes of $4,775. Federal tax withholding of $21,000. • Alimony payments to Sandy's former…
- Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2022, Sandy worked as a computer technician at a local university earning a salary of $152,100, and John worked part time as a receptionist for a law firm earning a salary of $29,100. Sandy also does some Web design work on the side and reported revenues of $4,100 and associated expenses of $800. The Fergusons received $820 in qualified dividends and a $205 refund of their state income taxes. The Fergusons always itemize their deductions, and their itemized deductions were well over the standard deduction amount last year. Use Exhibit 8-10, Tax Rate Schedule, Dividends and Capital Gains Tax Rates, 2022 AMT exemption for reference. The Fergusons reported making the following payments during the year: State income taxes of $4,425. Federal tax withholding of $21,000. Alimony payments to Sandy's former spouse of $10,050 (divorced 12/31/2014). Child support payments for Sandy's child with…Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2022, Sandy worked as a computer technician at a local university earning a salary of $152,100, and John worked part time as a receptionist for a law firm earning a salary of $29,100. Sandy also does some Web design work on the side and reported revenues of $4,100 and associated expenses of $800. The Fergusons received $820 in qualified dividends and a $205 refund of their state income taxes. The Fergusons always itemize their deductions, and their itemized deductions were well over the standard deduction amount last year. Use Exhibit 8-10, Tax Rate Schedule, Dividends and Capital Gains Tax Rates, 2022 AMT exemption for reference. The Fergusons reported making the following payments during the year: State income taxes of $4,425. Federal tax withholding of $21,000. Alimony payments to Sandy's former spouse of $10,050 (divorced 12/31/2014). Child support payments for Sandy's child with…Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2022, Sandy worked as a computer technician at a local university earning a salary of $152,600, and John worked part time as a receptionist for a law firm earning a salary of $29,600. Sandy also does some Web design work on the side and reported revenues of $4,600 and associated expenses of $1,050. The Fergusons received $920 in qualified dividends and a $230 refund of their state income taxes. The Fergusons always itemize their deductions, get the full benefit of deducting the entire amount of state income taxes paid, and their itemized deductions were well over the standard deduction amount last year. Use Exhibit 8-10, Tax Rate Schedule, Dividends and Capital Gains Tax Rates, 2022 AMT exemption for reference. The Fergusons reported making the following payments during the year: State income taxes of $4,550. Federal tax withholding of $21,000. Alimony payments to Sandy's former spouse…
- Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2022, Sandy worked as a computer technician at a local university, earning a salary of $152,000, and John worked part time as a receptionist for a law firm, earning a salary of $29,000. Sandy also does some Web design work on the side and reported revenues of $4,000 and associated expenses of $750. The Fergusons received $800 in qualified dividends and a $200 refund of their state income taxes. The Fergusons always itemize their deductions, and their itemized deductions were well over the standard deduction amount last year. Assume that in the previous year, Fergusons got the full benefit of deducting the entire amount of their state income taxes. Use Exhibit 8-10. Tax Rate Schedule. Dividends and Capital Gains Tax Rates. 2022 AMT exemption for reference. The Fergusons reported making the following payments during the year: • State income taxes of $4,400. Federal tax withholding of…By using the information below, please help me with questions 1 through 6. PLEASE EXPLAIN THOROUGHLY FOR A BETTER UNDERSTANDING THANK YOU!! PLEASE ASSIST ME WITH THE FOLLOWING 6 QUESTIONS USING THE PROVIDED INFORMATION BELOW. THANK YOU! Lillian and Jackson Clark are a married couple in their early 20s living in Los Angeles. Jackson Clark earned $93,000 in 2018 from his sales job. During the year, his employer withheld $11,685 for income tax purposes. In addition, the Clarks received interest of $350 on a joint savings account, $750 interest on tax-exempt municipal bonds and dividends of $400 on common stocks. At the end of 2018, the Clarks sold two stocks, A and B. Stock A was sold for $700 and had been purchased four months earlier for $800. Stock B was sold for $1,500 and had been purchased 3 years earlier for $1,100. Although his company's pension plan covers Jackson, he plans to contribute $5,500 to a traditional deductible IRA for 2018. Their only child, Carter, age 2, received…Julie and Otto are married and file a joint return. They have a young child who needs care while they work. Otto is a self-employed architect but also does some part time work as an Uber driver. From his self-employment he receives $150,000 and from his Uber driving he receives $10,000. They hire a nanny, aged 19 years to watch their child and pay her $190 per week for 40 weeks during the current year (2020). Required: Calculate Otto’s self-employment tax Calculate the employer’s portion of the nanny tax that they should pay Calculate the nanny’s portion of the tax.
- John and Sandy Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2021, John worked as a computer technician at a local university earning a salary of $152,000, and Sandy worked part time as a receptionist for a law firm earning a salary of $29,000. John also does some Web design work on the side and reported revenues of $4,000 and associated expenses of $750. The Fergusons received $800 in qualified dividends and a $200 refund of their state income taxes. The Fergusons always itemize their deductions, and their itemized deductions were well over the standard deduction amount last year. Assume the Fergusons did not receive an advance payment for the 2021 individual recovery credit because they are not eligible for the credit. Use Exhibit 8-10, Tax Rate Schedule Dividends and Capital Gains Tax Rates. 2021 AMT exemption for reference. The Fergusons reported making the following payments during the year: • State income taxes of $4,400. Federal tax…John and Sandy ferguson got married 8 years a go and have a 7 year old duaghter, Samantha. In 2019, john workes as a computer technician at a local university, earning a salary of $152,000 and Sandy worked part-time as a receptiolist for a law firm, earnig $29,000.John also does some web design work on the side and reported a revenue of $4,000 and associated expenses of $750.Ferguson received $800 in qualified dividends and a $200 refund of their state income taxes. They always itemized their deductions, and thier itemized deductions were well over standard deductions amount last year. They had a qulified insurance for purposes of affordable care Act. The Ferguson reported making the following payments during the year. .State income taxes $4,000 .federal tax witholding of $21,000 .Alimony payment to Johns former wife of $10,000 (divorced 2014) .$4,000 for child support payment .$12,200 of real property taxes. $3,600 to kid care day care centre. $14,000 interest on their home mortgage…Your supervisor has asked you to research the following situation concerning Scott and Heather Moore. Scott and Heather are married and file a joint return. Scott works full-time as a wildlife biologist, and Heather is a full-time student enrolled at Online University. Scott’s earned income for the year is $36,000. Heather does not have a job and concentrates solely on her schoolwork. The university she is enrolled in offers courses only through the Internet. Scott and Heather have one child, Elizabeth (age 8), and pay $3,000 for child care expenses during the year.