1. What is Joe's AGI?

2. If Joe is single, will he take the standard deduction or itemized deductions?

3. How much are his itemized deductions?

 

Joe has the following fact pattern: Salary income $65,000 Net income from a rental property income $6,000 Dividend income $3,500 Payment of alimony (divorce finalized in June of 2020) $12,000 Mortgage interest on residence $9,900 Property tax on residence $1,200 Contribution to traditional IRA * $6,000 Contribution to the church $2,100 Loss on the sale of real estate (held for investment) $2,000 Medical expenses $3,250 State income tax paid $2,300 Federal income withholding $5,800 *-assume Joe is not covered by a retirement plan through his employer