Question

Buddie is filing his federal income tax return with the 1040EZ form using the Single filing status, and nobody can claim him as a dependent. If he had wages, salaries, and tips of $53,100, taxable interest of $230, and no unemployment compensation, what should he enter on line 6 of the Income section below?

Answer 1

$43,980

Explanation:

Answer 2

Buddie

Buddie should enter on line 6 of the income section:

capital gains or losses that he incurred for the past year.

Explanation:

Line 6 asks about the capital gains or losses from the past year so that the AGI total could be obtained before deductions are made. Where Line 6 is filled, there are some other forms that will accompany it, like Schedule D and 1099-B or 1099-S forms, which record the capital gains or losses. All capital gains that are not excludable must be stated for income tax purpose.