Harold J Milton SSN 000-22-1111 is 66 yrs old and unmarried, filing single with no dependents. He had the following income & deductions for 2015:
Salary............................................................................................$177,000
Interest income from State Bank..............................................................$12,000
Dividend income (qualified) ..................................................................$18,000
Deductible IRA contribution....................................................................$5,000
Tax Exempt interest income from municipal bonds........................................$24,000
Charitable Contributions........................................................................$27,000
Medical Expenses (before the floor) .........................................................$18,000
State income taxes..............................................................................$18,000
Mortgage interest expense on residence (100% acquisition debt)........................$19,000
Interest expense on car loan.....................................................................$3,000
Real estate taxes on residence...................................................................$2,000
Misc deceptions other (before the floor) ......................................................$7,000
Income tax w/held...............................................................................$20,000
Estimated tax payment s(2500 per quarter) ..................................................$10,000
Complete Milton's 2015 Form 1040, Schedule A, B & D, and form 6251. In 2014, Milton had AGI of $200,000 and his income tax liability was $46,000
Milton had health insurance coverage throughout 2015 with his full time job. He plans to semi-retire in January 2016. He asks you to determine the tax cost he would have incurred in 2015 if he had no health insurance.