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Shirley and Bob are married, receive Social Security benefits and file a joint tax return. What is the base amount with which ½ of their net Social Security benefits plus other income must be compared to determine the amount includible in income?

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Answer:

$32,000

Explanation:

The 1983 amendments require beneficiaries to pay income tax on their benefits if their modified adjusted gross income ( AGI )—which includes one-half of Social Security benefit income—is greater than $25,000 for single beneficiaries and $32,000 for married couples (Table 1).

The answer is "$32,000".

In this question, we apply the "adjusted gross income" in which Wages, dividends, investment income, total income, pension distributions, and other income sources are all included in gross income.

  • Educator costs, college loan interest, divorce payments, even contributions to a retirement plan are all examples of revenue changes.
  • The 1983 revisions required recipients to pay tax on their monthly benefits when their altered total income (AGI).
  • It includes one of their state pension benefits, which exceeds $25,000 for single people or $32,000 for married people. Learn more:

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