Dong and Chen are a married couple with three dependent children under the age of 17. Their adjusted gross income is $ 282 comma 500.00​, and they plan to take the standard deduction. Calculate their total tax as well as the child tax credit that they can claim for the 2020 tax year. Assume that their filing status is married filing jointly spouse and that all of their income is taxable and the amount does not include any dividends or capital gains.
Question content area bottom
Part 1
Dong and​ Chen's standard deduction for the 2020 tax year is ​$
  
24,800.00.  ​(Enter the amount to the nearest​ cent.) Click the following link for a standard deduction​ table: LOADING....
Part 2
Their taxable income for the 2020 tax year is ​$
  
257700.  ​(Round to the nearest​ cent.)
Part 3
Their child tax credit amount for the 2020 tax year is ​$
  
6000.  ​(Round to the nearest​ cent.)
Part 4
Dong and​ Chen's total income tax due for the 2020 tax year is ​$
  
enter your response here.  ​(Round to the nearest​ cent.) Click the following link for the tax rates and brackets​ table: LOADING....

Let's break this down step by step to calculate the total tax and child tax credit for Dong and Chen for the 2020 tax year.

### Part 1: Standard Deduction
Given:
- **Filing Status**: Married filing jointly.
- **Standard Deduction for 2020**: \$24,800.

So, the **standard deduction** for Dong and Chen is:
\[
\boxed{24,800.00}
\]

### Part 2: Taxable Income
Taxable income is calculated by subtracting the standard deduction from the adjusted gross income (AGI).

\[
\text{Taxable Income} = \text{AGI} - \text{Standard Deduction}
\]
\[
\text{Taxable Income} = 282,500 - 24,800 = 257,700
\]

So, their **taxable income** is:
\[
\boxed{257,700.00}
\]

### Part 3: Child Tax Credit
The base child tax credit for 2020 is \$2,000 per qualifying child. Since Dong and Chen have 3 children under the age of 17, their total base credit is:

\[
\text{Base Child Tax Credit} = 2,000 \times 3 = 6,000
\]

However, there is a phaseout for high-income families. The phaseout threshold for married couples filing jointly in 2020 starts at \$400,000, so Dong and Chen's income (\$282,500) is below this threshold. Therefore, they are eligible for the full **child tax credit** of:

\[
\boxed{6,000.00}
\]

### Part 4: Total Income Tax Due
For this part, we need to apply the 2020 federal income tax brackets for **married filing jointly**. The relevant tax brackets are:

1. 10% on income up to \$19,750
2. 12% on income between \$19,751 and \$80,250
3. 22% on income between \$80,251 and \$171,050
4. 24% on income between \$171,051 and \$326,600

Let's calculate the tax:

- First \$19,750 at 10%:
  \[
  19,750 \times 0.10 = 1,975
  \]
- Income between \$19,751 and \$80,250 at 12%:
  \[
  (80,250 - 19,750) \times 0.12 = 60,500 \times 0.12 = 7,260
  \]
- Income between \$80,251 and \$171,050 at 22%:
  \[
  (171,050 - 80,250) \times 0.22 = 90,800 \times 0.22 = 19,976
  \]
- Income between \$171,051 and \$257,700 at 24%:
  \[
  (257,700 - 171,050) \times 0.24 = 86,650 \times 0.24 = 20,796
  \]

Now, summing these up:
\[
1,975 + 7,260 + 19,976 + 20,796 = 50,007
\]

So, their **total tax before credits** is \$50,007.

Finally, subtract the child tax credit:
\[
50,007 - 6,000 = 44,007
\]

Their **total income tax due** is:
\[
\boxed{44,007.00}
\]

---

### Summary:
1. **Standard Deduction**: \$24,800
2. **Taxable Income**: \$257,700
3. **Child Tax Credit**: \$6,000
4. **Total Income Tax Due**: \$44,007

Would you like more details or have any questions?

---

Here are 5 related questions for further practice:
1. How does the child tax credit phaseout work for incomes above \$400,000?
2. How would the tax change if their AGI was \$350,000 instead of \$282,500?
3. What would their tax be if they claimed itemized deductions instead of the standard deduction?
4. How is the child tax credit different for older children over the age of 17?
5. What are the tax implications of having dividend or capital gain income?

**Tip**: For future tax planning, consider any possible itemized deductions to reduce taxable income further.

Dong and Chen are a married couple with three dependent children under the age of 17. Their adjusted gross income is $282,500.00, and they plan to take the standard deduction. Calculate their total tax as well as the child tax credit that they can claim for the 2020 tax year. Assume that their filing status is married filing jointly and that all of their income is taxable and the amount does not include any dividends or capital gains.

Calculate the total tax and child tax credit for a married couple with three dependent children under the age of 17, with an adjusted gross income of $282,500 in the 2020 tax year. Learn how to apply the standard deduction, calculate taxable income, and apply relevant tax brackets.

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