Ellen and Rick Are Married with One Dependent Child

question 123

Essay

Ellen and Rick are married with one dependent child. They have AGI of $355,300, and itemized deductions consisting of $20,000 state income taxes and $20,000 medical expenses, after applying the 10 percent of AGI limitation.
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Compute the following for 2016:
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a.Itemized deductions allowed after the phase-out for high-income taxpayers.
b.Exemption deductions (ordinarily $4,050 x 3) after the high-income phase-out.
c.Taxable income.

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Definitions:

Salutary Goals

are objectives or outcomes that contribute positively to an individual’s well-being or health.

Health Promoting

Actions or behaviors that contribute to the maintenance or improvement of health and well-being.

Correct Deficiencies

The process of identifying and rectifying lacks or shortcomings in a system, individual skills, or organizational processes.

Contextualizing

Placing concepts, events, or activities in their appropriate contexts to provide deeper understanding or meaning.