Mr and Mrs

question 125

Essay

Mr. and Mrs. Bachman, both age 65, file a joint return. In 2018 they have wages of $30,000, dividends of $6,200, municipal bond interest of $3,000 and received $10,300 for the sale of stock that cost $4,000 in 1992. They made a $3,000 contribution to their Roth IRA, paid $4,100 in deductible mortgage interest and real estate taxes and made a $2,500 charitable contribution. What is their gross income, adjusted gross income, and taxable income?

---

Definitions:

Southern Colonies

Refers to the group of English colonies in North America located in the south that included Maryland, Virginia, North and South Carolina, and Georgia.

Law

A system of rules that are created and enforced through social or governmental institutions to regulate behavior.

State

A defined area of territory with its own government and institutions, or a condition/status of being, depending on the context.

Rights of Individuals

Liberties and entitlements afforded to people under the law, including freedom of speech, privacy, and the right to fair treatment.