Question

In 2019, Maia (who files as a head of household) reported regular taxable income of $116,300. She itemized her deductions, among them deductions of $8,130 in charitable contributions and $3,130 in state income taxes. What is Maia’s alternative minimum taxable income?

Answer 1

Step-by-step explanation:

GIVEN THE FOLLOWING ;

Regular taxable income = $116,300

Itemized deduction = $8,130( charitable contribution)

State income taxes = $3,130

In the alternative minimum taxable income, certain Itemized deductions which aren't a part of the regular taxable income are added back to the taxable income. the Alternative Minimum Tax exemption for individual filers is $71,700 while married joint filers figure is $111,700.

However, Alternative Minimum Tax deduction for charitable contribution is the same for regard income tax.

Alternative Minimum Tax income = $116,300 + $3,130 = $119,430

Answer 2

Maia’s alternative minimum taxable income is: =$119430

Step-by-step explanation:

Given:

• Regular taxable income of $116,300

• Deductions of $8,130

• State income taxes $3,130

From that, we can find out the taxable income

= Regular taxable income + State income taxes

= $116,300 + $3,130

=$119430

Because the deduction spent on charitable contributions will not consider as taxable income because charitable contribution is a deductible amount from a person's taxable income.

So, Maia’s alternative minimum taxable income is: =$119430