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Business, 16.03.2020 21:24 lagster11

Mr. and Mrs. Lay’s taxable income is $680,600, which includes a $22,190 dividend on their investment in Rexford Mutual Fund. Mr. and Mrs. Lay’s marginal rate on ordinary income is 37 percent, and their entire Rexford dividend is subject to the Medicare contribution tax. Use Individual tax rate schedules and Tax rates for capital gains and qualified dividends. Compute the Lays' total tax on this dividend if their Form 1099 from Rexford reported that the entire $22,190 was an ordinary dividend. Compute the Lays' total tax on this dividend if their Form 1099 from Rexford reported that $17,670 was an ordinary dividend and $4,520 was a capital gain distribution. Compute the Lays' total tax on this dividend if their Form 1099 from Rexford reported that $7,150 was an ordinary dividend, $10,780 was a qualified dividend distribution, and $4,260 was a capital gain distribution.

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Mr. and Mrs. Lay’s taxable income is $680,600, which includes a $22,190 dividend on their investment...
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