Question

1. Kaylonna and Evan first met in tax class and later got married. In 2020, his salary for the year was $62,000, and hers was $81,000. In addition, she inherited $40,000 worth of stock from her great aunt who passed away. They have three children ages 14, 16, and 18, they have itemized deductions of $28,000. What is their taxable income for 2020? usa

   		115,000
   		118,600
   		86,600
   		90,600

Answer 1

• As per the details given above, Kaylonna and Evan are married hence they will file their return jointly and the stock inherited from her aunt is exempt from inheritance tax as per usa taxation.
• And according to USA taxation rules their taxable income for 2020 will be$1,15,000 , calculation of the same is as under:

kaylonna's income	$62000
Evan's Income:	$81000
Total income	$143000
Less: Eligible deduction	$28000
Net Taxable income after deduction:	$115000
Exempt income ie. inherited gift is :	$40000

Hence the right answer will be $115000 .