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Calculate the taxable income for Tom and Terry




Tom and Terry are married and have one child, Tammy, age 20, who is completely disabled. Tom is a self-employed handyman. Terry is a full-time caregiver for Tammy.;1. Tom supplies the following information for his business;Revenue from services $65,000;Materials used for customers, not billed separately 20,000;Work related conference registration fees 1,500;Travel to conferences 1,250;Hotels at conferences 420;Meals at conferences 190;Accounting fees paid 1,200;Internet connection fees 1,850;Legal fees 625;Office supplies 240;Medical insurance premiums 4,000;2. Both Tom and Terry contributed the maximum amounts to their IRAs.;3. They paid $4,000 for a part-time caregiver to help care for Tammy.;Calculate the taxable income for Tom and Terry. Then calculate the tax due ? be sure to include the self-employment tax for Tom. Show and label all of your work for partial credit.


Paper#20421 | Written in 18-Jul-2015

Price : $22