7. In 2019, Taxpayer (“T”) is a single, 65 year-old individualwho is a U.S. citizen. T turned 65 in 2019. T receives $18,000 ofsocial security income in 2019 (the first year T received SocialSecurity Benefits). Also, T received $6,000 of interest income froma municipal bond in both 2018 and 2019. On June 1, 2018, T took ajob with a multi-national corporation which paid T $5,000 permonth. As a condition of the job, T is required to work overseas,in the country of Austria, and T did in fact work in Austria for214 days (From June 1 – December 31) in 2018. T is offered tocontinue to work (still in Austria and still for $5,000 per month)for seven additional months (from January 1 until the end of July,which is 211 days) in 2019, at which point T’s position wouldterminate. T is trying to decide whether T wants to continue towork for seven months in 2019 or quit on January 1. (These are T’sonly transactions during 2018 and 2019).

a. What is T’s Gross Income in 2019 if T continues to workthrough July of 2019? __________________________________

b. What is T’s Gross Income in 2019 if T does NOT continue towork in 2019? __________________________________

c. Excluding the effects of the payroll tax and any credits,What is the economic benefit to T of continuing to work for 7months in 2019 (meaning how much total extra money, after tax, willT have as a result of continuing to work in 2019)?_____________________