In 2022 Juan (age 29) filed as a single. Assume his taxable income was 27,950 . What amount of tax should be reported on Line 16 of Form 1040? (See Example 1b in the Week 1 Part 2 PowerPoint)

Question

UpStudy AI · Accepted Answer

To determine the amount of tax Juan should report on **Line 16 of Form 1040** for the tax year **2022**, follow these steps:

### 1. **Identify the Taxable Income and Filing Status**
- **Taxable Income:** $27,950
- **Filing Status:** Single

### 2. **Refer to the 2022 IRS Tax Brackets for Single Filers**
For **Single** filers in **2022**, the federal income tax brackets are:

- **10%** on income **up to $10,275**
- **12%** on income **over $10,275** up to **$41,775**
- **22%** on income **over $41,775** up to **$89,075**
- *(Higher brackets exist but are not applicable here)*

### 3. **Calculate the Tax**

**a.** **First Portion:**
- **10%** of **$10,275** = **$1,027.50**

**b.** **Second Portion:**
- **Taxable Income** exceeding **$10,275**: 
  $$
  $27,950 - $10,275 = $17,675
  $$
- **12%** of **$17,675** = 
  $$
  0.12 \times $17,675 = $2,121
  $$

**c.** **Total Tax:**
$$
$1,027.50 + $2,121 = $3,148.50
$$

### 4. **Round to the Nearest Dollar**
The IRS typically rounds to the nearest whole dollar:
$$
$3,148.50 \rightarrow $3,149
$$

### **Final Answer**
Juan should report **$3,149** on **Line 16 of Form 1040** for the tax year **2022**.
Juan should report $3,149 on Line 16 of Form 1040 for the tax year 2022.

In 2022 Juan (age 29) filed as a single. Assume his taxable income was 27,950 . What amount of tax should be reported on Line 16 of Form 1040? (See Example 1b in the Week 1 Part 2 PowerPoint)

Real Tutor Solution

Answer

Solution

Bonus Knowledge

Related Questions

Latest Economics Questions