22. jorge viscano had $38,000 in adjusted gross income last year. he had itemized deductions of $4,850 and…

22. jorge viscano had $38,000 in adjusted gross income last year. he had itemized deductions of $4,850 and one dependent for $2,200. what was his taxable income for the year? (remember the standard deduction amount is $15,700 for a single person)

22. jorge viscano had $38,000 in adjusted gross income last year. he had itemized deductions of $4,850 and one dependent for $2,200. what was his taxable income for the year? (remember the standard deduction amount is $15,700 for a single person)

Answer

Explanation:

Step1: Compare deductions

We need to compare itemized deductions and standard deduction. Since itemized deductions ($4,850) are less than the standard deduction ($15,700) for a single - person, we use the standard deduction.

Step2: Calculate taxable income

Taxable income = Adjusted gross income - Standard deduction - Dependent deduction. Adjusted gross income is $38,000, standard deduction is $15,700 and dependent deduction is $2,200. $38000-(15700 + 2200)$ $=38000 - 17900$ $=20100$

Answer:

$20,100$