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Jane and Ed Rochester Are Married with a Two-Year-Old Child

Question 118

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Jane and Ed Rochester are married with a two-year-old child who lives with them and whom they support financially.In 2018,Ed and Jane realized the following items of income and expense:
 Item  Ed’s Salary  Jarne’s Salary  Municipal bond interest income  Qualified business income  Alimony paid (for AGI deduction)  Real property tax (from AGI deduction)  Charitable contributions (from AGI)  Amourt 35,00070,0004001,000(7,000)(10,000)(15,000)\begin{array}{l}\begin{array} { l } \text { Item }\\\text { Ed's Salary } \\\text { Jarne's Salary } \\\text { Municipal bond interest income } \\\text { Qualified business income } \\\text { Alimony paid (for AGI deduction) } \\\text { Real property tax (from AGI deduction) } \\\text { Charitable contributions (from AGI) }\end{array}\begin{array} { r } \text { Amourt } \\35,000 \\70,000 \\400 \\1,000 \\( 7,000 ) \\( 10,000 ) \\( 15,000 )\end{array}\end{array} They also qualified for a $2,000 child tax credit.Their employers withheld $5,800 in federal income taxes from their paychecks (in the aggregate).Finally,the 2018 standard deduction amount for MFJ taxpayers is $24,000.
What are the couple's taxes due or tax refund (use the tax rate schedules not tax tables)?

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$675 tax due,see calculations below.   \...

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