In 2020, Gale and Cathy Alexander hosted an exchange student, Axel Muller, for 9 months. Axel was part of International Student Exchange Programs (a qualified organization). Axel attended tenth grade at the local high school. Gale and Cathy did not claim Axel as a dependent but paid the following items for Axel’s well-being: 

Gale and Cathy have asked for your help in determining if any of the $4,500 can be deducted as a charitable contribution.

Required: 

Go to the IRS website (www.irs.gov) and locate Publication 526. Write a letter to Gale and Cathy answering their question. If they can claim a deduction, be sure to include in your letter the amount that can be deducted and any substantiation requirements. 

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Food and clothing Medical care Fair market value of lodging Entertainment Total $1,500 200 2,700 100 $4,500