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Q: Indexing Exemptions for Inflation. Each year, the Internal Revenue Service adjusts the value of an exemption based on inflation (and rounded to the nearest $50). In a recent, if the exemption was
worth $3,100 and inflation was 4.7 percent, what would be the amount of the exemption for the upcoming tax year?
A: $3,100 X 1.047 = $3,245.70 rounded to $3,250
coolcurtis|Points 150|
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Asked 5/5/2012 10:41:40 PM
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