Steve and Sue are married with three dependent children. Their 2015 joint income tax return shows $389,000 of AGI and $60,000 of itemized deductions made up of $30,000 of state income taxes and $30,000 of charitable contributions.
Calculate the following amounts:
In your calculations, round percentages to the nearest whole number. Round your answers to the nearest dollar.
a. Allowable itemized or standard deduction amount
b. Allowable exemptions deduction amount
c. Taxable income