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28 January, 16:59

Don (67) and Carol (66) are married and file a joint return. Their gross income (including 1/2 of their social security) for 2018 was $43,860. Up to ___ of their social security benefits may be taxable.

a. 100%

b. 85%

c. 50%

d. 0%

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Answers (1)
  1. 28 January, 17:15
    0
    c. 50%

    Explanation:

    According to the Internal revenue service, if the joint return is filled with the income below $32,000 then no tax liability would arise

    But if the income lies in between $32,000 to $44,000, 50% of the benefits is taxable and if the income exceeds to $44,000, 85% of the benefits are taxable

    Since in the question, the combined income is $43,860 that is below $44,000 so only 50% of heir social security benefits are taxable
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