Answer Happy

Mr. and Mrs. Poe earned $115,900 compensation income and $963 interest this year and recognized a $600 short-term capital gain and a $7,200 long-term capital gain on the sale of securities. They incurred $4,400 investment interest expense and $25,500 other itemized deductions. Use Individual tax rate schedules and Tax rates for capital gains and qualified dividends.
Required:
Compute the Poe’s income tax on a joint return if they don’t elect to treat long-term capital gain as investment income.
Compute the Poe’s income tax if they elect to treat enough long-term capital gain as investment income to allow them to deduct their investment interest.
7 Mr. and Mrs. Poe earned $115,900 compensation income and $963 interest this year and recognized a $600 short-term capital gain and a $7,200 long-term capital gain on the sale of securities. They incurred $4,400 investment interest expense and $25,500 other itemized deductions. Use Individual tax rate schedules and Tax rates for capital gains and qualified dividends. 1 points Required: a. Compute the Poe's income tax on a joint return if they don't elect to treat long-term capital gain as investment income. b. Compute the Poe's income tax if they elect to treat enough long-term capital gain as investment income to allow them to deduct their investment interest. Complete this question by entering your answers in the tabs below. Answer is not complete. Required A Required B Compute the Poe's income tax if they elect to treat enough long-term capital gain as investment income to allow them to deduct their investment interest. (Round your intermediate calculations to the nearest whole dollar amount. Round your final answer to nearest whole dollar amount.) Taxable income Income tax Amount $ 94,763✔ < Required A Required B >