Question

In: Accounting

Leo has AGI of 95,000. During the year, Leo paid the following items related to his...

Leo has AGI of 95,000. During the year, Leo paid the following items related to his family's health. Health Insurance Premiums $4,800 (paid with After-tax funds)

Doctor's Fees 1,200

Prescription Drugs 500

Vitamins to enhance health 750

Laser Eye Surgery 1,500

Orthodontist fees 3,000

Teeth Whitening 1,000

He received a $750 reimbursement from his insurance company.

What is the net amount Leo can deduct this year?

Solutions

Expert Solution


Related Solutions

Mary’s AGI for the year is $30,000. She paid the following amounts during the current year:...
Mary’s AGI for the year is $30,000. She paid the following amounts during the current year: Amount         Purpose $2,500             Interest on $100,000 mortgage to acquire personal residence      550           Points paid to obtain the mortgage      850             Interest on auto loan (auto is used 100% for personal purposes) Mary’s current year interest itemized deduction after any applicable floor is: a.   $3,900. b.   $3,350. c.   $3,050. d.   $2,500. e.   none of the above. 2.   Jon’s AGI for the year is $40,000....
Reggie, who is 55, had AGI of $23,200 in 2018. During the year, he paid the...
Reggie, who is 55, had AGI of $23,200 in 2018. During the year, he paid the following medical expenses. Drug (prescribed by physicians) $245 Marijuana  (prescribed by physician) $1.445 Health Insurance premiums-after taxes $1,090 Doctors fee $1,295 Eyeglasses $420 Over-the counter drugs $245 Reggie received $545 in 2018 for a portion of the doctors’ fees from his insurance. What is Reggie’s medical expense deduction? Medical deduction expense : _________________________
Reggie, who is 55, had AGI of $36,000 in 2019. During the year, he paid the...
Reggie, who is 55, had AGI of $36,000 in 2019. During the year, he paid the following medical expenses: Drugs (prescribed by physicians) $ 580 Marijuana (prescribed by physicians) 1,480 Health insurance premiums–after taxes 1,250 Doctors’ fees 1,330 Eyeglasses 455 Over-the-counter drugs 280 Required: Reggie received $580 in 2019 for a portion of the doctors’ fees from his insurance. What is Reggie’s medical expense deduction?
Study the following items related to transactions during the year to September 30, 2020 for Thompson’s...
Study the following items related to transactions during the year to September 30, 2020 for Thompson’s Tours’ Inc. All transactions are reported on the financial statements in $XCD. I. A bank overdraft of $200,000 in a chequing account at St Kitts National Bank. II. A saving account with a balance of $400,000 at Open Campus Bank and chequing account with an overdraft of $100,000 at the same bank repayable on demand. III. The Operation Manager was given a salary advance...
Buck had the following items for 2018. Calculate his adjusted gross income (AGI) for 2018. Write...
Buck had the following items for 2018. Calculate his adjusted gross income (AGI) for 2018. Write down how each of the following items impacts the AIG and calculate the AGI. Buck and his ex-wife divorced in 2010. If an item increases the AGI, write the positive number. If an item decreases the AGI, write the negative number. If an item does not impact the AGI, write 0. For instance, he had wages of $80,000. Write 80,000 or 80000.                         Wages                                                             $80,000                         Interest...
During the current year, Pablo, a nurse who is single, has $95,000 of salary, $30,000 of...
During the current year, Pablo, a nurse who is single, has $95,000 of salary, $30,000 of income from dividends, and a $27,000 loss from a real estate rental activity in which he actively participates. His modified adjusted gross income is $110,000. Of the $27,000 loss, how much is deductible in the current year? a.    $20,000 b.    $22,500 c.    $24,500 d.    $25,000 e.    $27,000
Investment-Related Exclusions (LO. 6) Rona receives the following items during the current year: Interest on savings...
Investment-Related Exclusions (LO. 6) Rona receives the following items during the current year: Interest on savings account $600 Dividends on Microsoft stock 400 Interest on Guam development bonds 1,700 Dividend on life insurance policy 400 (The company is a mutual life insurance company, and the dividend is a return of part of the premium she paid on the policy.) In addition, Rona owns 1,600 shares of Cochran Corporation common stock. Cochran has a dividend reinvestment plan through which stockholders can...
Bill is single and has the following information for 2018. What is his AGI after considering...
Bill is single and has the following information for 2018. What is his AGI after considering all of this information? Bill is an executive and has $400,000 of salary income. Bill owns 100% of Holtz, Inc. Holtz is a C corporation with $2,000,000 of taxable income for 2018. Bill receives a $75,000 cash dividend. Bill owns 100% of Wallace Enterprises. Wallace is an S corporation. Bill does not materially participate in the S corporation. His basis in the stock is...
Leo Inc. has a bond with a 6 percent annual coupon (coupon is paid in semiannual...
Leo Inc. has a bond with a 6 percent annual coupon (coupon is paid in semiannual installments) and a yield to maturity of 5 percent. If the bond matures in 20 years, what is the bond worth?
Which of the following is not a deduction for AGI? a. Alimony paid for a divorce finalized in 2018.
Which of the following is not a deduction for AGI? a. Alimony paid for a divorce finalized in 2018. b. Business rent on a self-employed business. c. Property taxes paid on your primary residence. d. One half of self-employment tax.    
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT