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Sally Is a Single Individual

Question 77

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Sally is a single individual.In 2013,she receives $10,000 of tax-exempt income in addition to her salary and other investment income of $100,000.Sally's 2013 tax return showed the following information:
 Gross income $100,000 Deductions for adjusted gross income (4,000) Adjusted gross income $96,000 Itemized deductions (16,100)Personal exemption (3,900) Taxable income $76,000 Total tax $14,929 Less: Income tax withheld from wages (14,900)Balance of tax due $29\begin{array}{lr} \text { Gross income } &\$\quad 100,000 \\ \text { Deductions for adjusted gross income } &\underline {(4,000)} \\ \text { Adjusted gross income } &\$ \quad 96,000 \\ \text { Itemized deductions } &(16,100) \\ \text {Personal exemption } &\underline {(3,900) }\\ \text { Taxable income } &\underline { \$ \quad 76,000} \\\\ \text { Total tax } & \$ \quad14,929 \\ \text { Less: Income tax withheld from wages } &\underline {(14,900)} \\ \text {Balance of tax due } & \$ \quad 29\end{array}

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