Matt and Meg Comer are married. They do not have any children. Matt works as a h
ID: 2451283 • Letter: M
Question
Matt and Meg Comer are married. They do not have any children. Matt works as a history professor at a local university and earns a salary of $64,000. Meg works part-time at the same university. She earns $21,000 a year. The couple does not itemize deductions. Other than salary, the Comers’ only other source of income is from the disposition of various capital assets (mostly stocks). (Use the tax rate schedules.)
What is the Comers’ tax liability for 2015 if they report the following capital gains and losses for the year?
total tax liability_____________________
What is the Comers’ tax liability for 2015 if they report the following capital gains and losses for the year?
tot
a.What is the Comers’ tax liability for 2015 if they report the following capital gains and losses for the year?
Explanation / Answer
Matt and Meg Comer are married , Matt salary = $64,000 and Meg salary = $21000
Short-term capital gains 9000
Short-term capital losses (2000)
Net short term capital gain = 7000
Long-term capital gains 15000
Long-term capital losses (6000)
Net Long-term capital gains 9000
Total = 101000
As per schedule Y-1-married filing jointly
Upto $18450 = 10% , 18450*10% = 1845
18450-74900= 15%, 56450*15% = 8467.5
74900-101000= 25%, 26100*25% = 6525
Total = 16837.5
B)
Short-term capital gains 1500
Short-term capital losses 0
Net short term capital gain = 1500
Long-term capital gains 13000
Long-term capital losses (10000)
Net Long-term capital gains 3000
Total Income = 89500
As per schedule Y-1-married filing jointly
Upto $18450 = 10% , 18450*10% = 1845
18450-74900= 15%, 56450*15% = 8467.5
74900-89500= 25%, 14600*25% = 3650
Total = 13962.5