Tuesday, March 1, 2016

Dave and Sharon Sampson went to determine their taxes for the current year?


Dave will earn 48,000$ this year, while Sharon's earnings from her part-time job will be $12,000. Neither Dave nor Sharon contributes to a retirement plan at this time. Recall that they have two children. Assume child tax credits are currently 1,000$ per child. The Sampsons will pay 6,300 in home mortgage interest and 1,200 in real estate taxes this year, and they will make charitable contribution of 600$ for the year. The Sampsons are filing jointly. QUESTION: what is the total of their income taxes for the current year? Should they underreport their actual income taxes?

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