Sir please help me urgently Nadine's mom and dad are not financiallyliterate, and so Nadine would like you to assisther parents with their situation: Her parentswant to know how they can minimize theirincome tax cost for the current year 2021? Whatis the maximum tax that can be saved? Here iswhat her parents' situation looks like: They are amarried couple currently 68 years of age andretired.They have the following incomes for the currentyear:Dad MomCPP $9,600 $4,800OAS $7,400 $7,400DB Pension $68,200 N/ARRIF N/A $8,000Assume that their marginal tax rates are to be20% up to $ 49,030 and on income between$49 000 and $97,000 assume 30%.Once again, they want to know how they canminimize their income tax cost for the currentyear 2020?What is the maximum tax that can be saved?

Taxable income-Taxable income is the portion of an individual's total income that is subject to…

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What is the maximum tax that can be saved?

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter13: Tax Credits And Payment Procedures

Section: Chapter Questions

Problem 35P

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Suppose you are28 and married. You and your spouse file for income taxes jointly. You are in the 25% tax bracket. You are considering a few personal investment issues. Which of the following strategies is most tax efficient for your situation? ______ a.Invest all your income inside your regular taxable investment account. b.First, fully fund your 401 (k) account, then invest the rest in the IRA and Roth IRA account, finally invest the remaining money, if any,in your regular taxable investment account. c.Fully fund your 401 (k) account, and then invest all the rest money in your regular taxable investment account. d.First, fully fund your IRA and Roth IRA account, then fund your401 (k) account, finally invest the remaining money, if any, in your regular taxable investment account.
Net pay refers to the amount of take-home pay after taxes and other deductions (healthcare, social security, retirement, etc.). For the purposes of this project we will assume everyone is an unmarried individual with no children. We will assume your net salary is simply your gross salary($123,031) minus your taxes (that you will calculate using the table below) and all of your gross salary will be considered taxable income. Find your net pay. Show all calculations, including descriptions if necessary. Be sure to use the equation editor and label your final solution. Round your solution to the nearest dollar.
. Amelia and Addison are your grandparents. Amelia and Addison asked you to help them with their tax return in 2020. Below is a few financial info that they provide you: · Both Amelia and Addison's main source of income is from their rental house. In 2020, they earned $48,000 in total from their rental properties. · In the middle of 2020, Addison had a heart attack and must go to the emergency room. The total medical cost that Addison paid out of pocket was $5000 · Knowing that her dad had a bad accident, Alice came over to visit and gave the old couple a $10,000 check in September 2020. The couple did not immediately cash in the check but plan to only cash it in January 2021. Amelia told you that she hopes that by doing so, she would not have to recognize the amount in 2020. · Amelia and Addison paid $24,000 in total on their Texas property tax in 2020 · On their Vegas trip in early 2020, Amelia played Blackjack and won $2000. However, Addison was not that…
Janie graduates from high school in 2020 and enrolls in college in the fall. Her parents (who file a joint return) pay $5,225 for her tuition and fees. a. Assuming Janie's parents have AGI of $177,800, what is the American Opportunity tax credit they can claim for Janie? b. Assuming Janie's parents have AGI of $71,120, what is the American Opportunity tax credit they can claim for Janie?
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Janie graduates from high school in 2020 and enrolls in college in the fall. Her parents (who file a joint return) pay $7,225 for her tuition and fees. If required, round your computations to the nearest whole value. a. Assuming Janie's parents have AGI of $173,400, what is the American Opportunity tax credit they can claim for Janie?
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