In 2015,Richard,a single taxpayer,has adjusted gross income of $40,150.His AGI includes $4,000 of qualified dividends.Richard has no dependents and does not itemize deductions.What is his 2015 federal income tax?

Question

Quizplus · Accepted Answer

Richard's taxable income is $40,150 - $6,300 (standard deduction) - $4,000 (personal exemption) = $29,850. The tax on $25,850 (ordinary income) is $3,416, as qualified dividends are taxed at 0% up to $37,450.

In 2015,Richard,a Single Taxpayer,has Adjusted Gross Income of $40,150