Sebastian (Age 46) and Kaitlin (Age 45) Are Married and File

question 101

Multiple Choice

Sebastian (age 46) and Kaitlin (age 45) are married and file a joint tax return. Their 2018 adjusted gross income is $390,000 and includes $2,600 in investment income ($2,000 in short-term capital gains and $600 of interest income) . They provided 100% of the support for their daughter, Olivia, age 26, who lives with them, and earned $4,700 from her part-time job. They also provided 100 percent of the support for Sebastian's mother, Emily, who is 67, blind, and lives in a nursing home. Emily received $4,000 in Social Security benefits and $450 of interest income. What is Sebastian and Kaitlin standard deduction on their 2018 tax return if they do not itemize?

• A) $13,950
• B) $12,700
• C) $24,000
• D) $25,300

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Definitions:

Strategic Leadership

Leadership that focuses on setting long-term goals, developing clear visions, and implementing strategic plans to ensure organizational success.

Guardian of Trade-Offs

A role or perspective in decision-making that emphasizes the careful consideration and management of competing interests or values.

Sense of Urgency

The perception and drive to act promptly and efficiently, often to meet critical deadlines or solve pressing problems, fostering a culture of immediacy and responsiveness.

Corporate Strategies

High-level plans and actions undertaken by a company to achieve its business objectives and to gain competitive advantage.