Susan (age 29) is single but has the son of her brother living with her as her dependent.If her AGI is $27,800, what is her tax liability in 2019 before any allowable tax credits?

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Quizplus · Accepted Answer

Susan can file as Head of Household since she has a qualifying dependent (her nephew). For 2019, the tax brackets for a Head of Household are such that the first $13,850 is taxed at 10%, and the amount over $13,850 up to $52,850 is taxed at 12%. Susan's AGI is $27,800. Subtracting the standard deduction for a Head of Household in 2019 ($18,350) from her AGI leaves $9,450 to be taxed at the 10% rate. Therefore, her tax liability before any allowable tax credits is $945.

Susan (Age 29) Is Single but Has the Son of Her