Question

Brittany, who is single, cares for her father Raymond. Brittany pays the bills relating to Raymond's home. She also buys groceries and provides the rest of his support. Raymond has no gross income. Brittany received $45,000 of salary from her employer during the year. Brittany reports $3,000 of itemized deductions. What is Brittany's taxable income?

Answer 1

Answer:

Taxable Income = $29,100

Explanation:

Itemized Deductions=$3000

Standard Deduction for head of household=$8500

Personal and dependency exemptions=2*3700=$7400

Taxable income=45000-7400-8500=$29,100