# ACCT 224 Week 4 Homework Assignment / hwaid.com

## ACCT 224 Week 4 Homework Assignment / hwaid.com

ACCT 224 Week 4 Homework Assignment / hwaid.com

http://hwaid.com/shop/acct-224-week-4-homework-assignment/

1. Nancy gave her grandson, Sean, twenty acres of land. Her tax basis in the land was \$25,000. Nancy's marginal tax rate for the current year is 45%;
her grandson's is 25%.Its fair market value was \$575,000 at the date of the transfer. If the gift tax rate is 40% and she has never made a gift in excess of \$10,000
before this, what amount of gift tax will she pay? What is their net tax savings percentage as a family unit if Sean sells the land?
Question two:

1. Tom and Judy Bell, who file jointly, collected \$6,000 of Social Security benefits, \$18,000 in fully taxable pension payments and \$10,000 of tax-exempt interest.
How much of their Social Security is included in gross income? How would this change if they had received \$20,000 in tax-exempt interest?

ACCT 224 Week 4 Homework Assignment / hwaid.com

http://hwaid.com/shop/acct-224-week-4-homework-assignment/

1. Nancy gave her grandson, Sean, twenty acres of land. Her tax basis in the land was \$25,000. Nancy's marginal tax rate for the current year is 45%;
her grandson's is 25%.Its fair market value was \$575,000 at the date of the transfer. If the gift tax rate is 40% and she has never made a gift in excess of \$10,000
before this, what amount of gift tax will she pay? What is their net tax savings percentage as a family unit if Sean sells the land?
Question two:

1. Tom and Judy Bell, who file jointly, collected \$6,000 of Social Security benefits, \$18,000 in fully taxable pension payments and \$10,000 of tax-exempt interest.
How much of their Social Security is included in gross income? How would this change if they had received \$20,000 in tax-exempt interest?

ACCT 224 Week 4 Homework Assignment / hwaid.com