How much refund can Harry and Helen expect if their combined taxable income is $65,922 and $187 is withheld each week?

How much refund can Harry and Helen expect if their combined taxable income is $65,922 and $187 is withheld each week?

• A. $100
• B. $555
• C. $1,000
• D. $200

Answer: (B)

To determine the potential tax refund for Harry and Helen, we first assess their total tax withheld over the course of a year. Since they are having $187 withheld from their paychecks each week, we can calculate their total withholding for the year by multiplying this weekly amount by the number of weeks in a year, which is 52. So, the calculation is as follows: $187 (weekly withholding) x 52 (weeks) = $9,724 (total annual withholding). Next, we look at their taxable income, which is stated as $65,922. The next step involves estimating their tax liability based on this income. Without specific tax brackets or additional deductions detailed in the scenario, we cannot calculate an exact liability. However, it’s important to note that if their total tax liability is significantly less than the amount withheld ($9,724), they could be eligible for a substantial refund. Given the amount of money withheld compared to their income, it is reasonable to conclude that they will likely receive a refund. In this case, the amount represented by option B, which is $555, appears to align with a scenario where their tax liability is less than the total withholding, leading to a refund of that amount. Therefore,

To determine the potential tax refund for Harry and Helen, we first assess their total tax withheld over the course of a year. Since they are having $187 withheld from their paychecks each week, we can calculate their total withholding for the year by multiplying this weekly amount by the number of weeks in a year, which is 52.

So, the calculation is as follows:

$187 (weekly withholding) x 52 (weeks) = $9,724 (total annual withholding).

Next, we look at their taxable income, which is stated as $65,922. The next step involves estimating their tax liability based on this income. Without specific tax brackets or additional deductions detailed in the scenario, we cannot calculate an exact liability. However, it’s important to note that if their total tax liability is significantly less than the amount withheld ($9,724), they could be eligible for a substantial refund.

Given the amount of money withheld compared to their income, it is reasonable to conclude that they will likely receive a refund. In this case, the amount represented by option B, which is $555, appears to align with a scenario where their tax liability is less than the total withholding, leading to a refund of that amount.

Therefore,