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1. Nicks dependent child lives with him. He pays the following expenses for her during 2019: (1) doctor bills. ($8,000); (2) hospital bill ($10,775) which

1. Nicks dependent child lives with him. He pays the following expenses for her during 2019: (1) doctor bills. ($8,000); (2) hospital bill ($10,775) which included the doctors fee ($10,000), meals ($200), lodging ($400) and lab fees ($175); (3) prescription drugs ($600) and insulin ($925); (4) eyeglasses ($200); (5) aspirin and vitamins ($50); (6) medical insurance premiums ($1,000); (7) transportation to and from the doctors office by car (300 total miles); and (8) a face lift ($2,000). Nicks adjusted gross income in 2019 was $200,000. Nicks health insurance plan reimbursed him for $4,000 of the hospital bill and $300 of the prescription drugs. What is Nicks net medical expense deduction in 2019?

2. John is single. He has the following tax information: wages $100,000, vitamins insurance premiums paid $8,000, state income tax $9,000, state sales tax $7,000, mortgage interest $16,000, credit card interest $3,000, $900, unreimbursed travel by car for the Red Cross (100 miles) and reimbursed expenses from his employer $4,100. Determine Johns net itemized deduction total.

3. John purchased a home four years ago for $1,150,000. He paid $200,000 cash and incurred a $950,000 mortgage. On 5/10 of the current year, John took out a mortgage on the home for $125,000 when the fair market value of the home was $2,000,000. He used the proceeds of the loan to pay off credit card bills, medical bills, tuition expenses for his child and purchase a boat.

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Determine the amount of Johns mortgage indebtedness that qualifies for an interest expense deduction in the current year.

4. Erin lives with her brother and supports him. She had wages of $100,000.

Erin paid the following medical expenses for her brother: insulin $2000, prescription drugs $4,000, doctors bills $8,000, hospital bills $18,000, aspirin $16, eyeglasses $200. Erins medical insurance reimbursed her $9,300 for the hospital bills and $700 for the prescription drugs.

During the year Erin paid $14,000 interest on her mortgage, $4,700 in real property taxes and state income tax of $3,300.

Erin contributed $5,200 to her church, $800 to St. Johns University and gave $300 to a needy family.

Erin had $2,300 of reimbursed expenses from her employer.

Determine Erins filing status, taxable income and tax liability.

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