1. Summary Problem: Tommy, a single tax Problem: Tommy, a single taxpayer with no dependents, has the following items that may affect his taxable income. What is his adjusted gross income? Employee salary received $70,000 Child support paid to ex-wife 12,000 Total allowable itemized deductions 3,000 Cash gift received from parents 7,000 Gain on the sale of stock 5,000 Loss on the sale of personal residence (10,000) (6,000) Loss on the sale of stock 40,000 Amount collected from a life insurance policy Health insurance premiums paid by his employer 800 Winnings from gambling trip to Las Vegas 1,200 Cost of employer paid parking space 15,000 Government pension benefits received Amount his dog earned from being in a television commercial 3,000 2,000