Question

Jonathan is a single taxpayer. His taxable income before deductions was $63,110. He was able to reduce his taxable income by $10,312 when he filled out Schedule A and Schedule 1.

a. How much did he save in tax by using Schedule A?

Answer 1

Jonathan saved $10,312 in tax by using Schedule A.

Step-by-step explanation:

Step 1: Calculate the tax savings by subtracting the taxable income after deductions from the taxable income before deductions.

Tax savings = Taxable income before deductions - Taxable income after deductions

Tax savings = $63,110 - ($63,110 - $10,312)

Tax savings = $63,110 - $52,798

Tax savings = $10,312

Therefore, Jonathan saved $10,312 in tax by using Schedule A.