Question

Abner and Bette have been married for 20 years and always file a joint return, but never itemize their deductions. Abner and Bette have gross income of $80,000 and deductions for adjusted gross income in the amount of $5,000, but they do not have any children. Neither Abner nor Bette are over the age of 65 and neither is blind. What is Abner and Bette’s taxable income in 2019?

Answer 1

Solution and Explanation:

Abner & Bette Gross Income = $80,000.00

Less: the Standard deduction (as per Federal tax $12700 for 2017) $ (12,700.00)

Less: the Personal Exemption($4050*2) $(8,100.00)

Ans (a) Abner's & Bette taxable income in 2017 $ 59,200.00

The Personal Exemption Amount

The personal exemption amount for 2017 is $4,050.

Standard Deduction Amounts

The 2017 standard deduction amounts will be as follows:

Single or married filing separately: $6,350

Married filing jointly: $12,700

Head of household: $9,350