Question

Jamie is single. In 2012, she reported 100,000 of taxable income, including a long-term capital gain of 5,000. What is her gross tax liability, rounded to the nearest whole dollar amount?22,86121,46120,81115,000

Answer 1

Gross tax liability is $17,725. None of the options is correct.

Step-by-step explanation:

For capital gain tax rate is 15%

-> 5.000 * 15% = 750.

Total gross tax liability is 16.974.5 + 750 = 17.725

The amount 16.974 is calculated based on the table attached in this answer.