Hugh, a self-employed individual, paid the following amounts during the year 2020: Real estate tax on...

Hugh, a self-employed individual, paid the following amounts during the year 2020:

Real estate tax on Louisiana residence $2,000

State income tax withheld 1,500

Additional state income tax paid when filing his 2019 tax return 600

Real estate tax on a rental property 2,000

State sales taxes 900

State motor vehicle tax (based on the value of personal use automobile) 400

Sidewalk special assessment 2,000

Federal income tax 5,000

Self-employment tax 1,000

Gambling loss (gambling winning is $100) 1,000

What is the maximum amount Hugh can claim as taxes in itemizing deductions from AGI?

Expert Solution

Particulars	$
Real estate tax	$ 2,000
State income tax withheld	$ 1,500
Additional state income tax for 2019	$ 600
Real estate tax on rental property (not allowed)	$ -
State sales tax (as only one is allowed out of State income tax or state sales tax)	$ -
State motor vehicle tax based on value	$ 400
Sidewalk speacial assessment (not allowed)	$ -
Federal income tax	$ -
Gambling loss to the extent of gambling winnings	$ 100
Total itemized deduction under Schedule A	$ 4,600

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ekkarill92 answered 1 year ago

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Hugh, a self-employed individual, paid the following amounts during the year 2020: Real estate tax on...

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