a) Chuck, who is 33 and single, has an AGI of $377,000 during 2017 He incurred the following expenses and losses during the year Compute his allowed itemized deductions for 2017 Medical expenses before 7 5 of AGI limit $42,000 State and Local Income Taxes $8,500 State Sales Tax $2,700 Real Estate Property Tax $7,500 Home Mortgage interest $16,000 Charitable contribution to church $6,750 Casualty loss before 10 limitation (after $100) floor $50,000 Unreimbursed employee expenses subject to 2 of AGI limitation $9,400 Gambling losses (Chuck has $3,500 of gambling income) $4,800 b) Clara, age 72 and single, is claimed as a dependent on her sons tax return During 2017, she had dividend income of $2,500 and $1,900 of earned income from housecleaning What is her taxable income c) Cecil incurred $60,000 of interest expense related to his investments in 2017 His investment income included $30,800 of interest and a $24,200 net long term capital gain on the sale of securities Cecil has asked you to compute the amount of his deduction for investment interest, taking into consideration any options he might have What is the maximum amount of Cecils investment interest deduction in 2017

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a) Chuck, who is 33 and single, has an AGI of $377,000 during 2017. He incurred the following expenses and losses during the year. Compute

a) Chuck, who is 33 and single, has an AGI of $377,000 during 2017. He incurred the following expenses and losses during the year. Compute his allowed itemized deductions for 2017.

Medical expenses before 7.5% of AGI limit	$42,000
State and Local Income Taxes	$8,500
State Sales Tax	$2,700
Real Estate Property Tax	$7,500
Home Mortgage interest	$16,000
Charitable contribution to church	$6,750
Casualty loss before 10% limitation (after $100) floor	$50,000
Unreimbursed employee expenses subject to 2% of AGI limitation	$9,400
Gambling losses (Chuck has $3,500 of gambling income)	$4,800

b) Clara, age 72 and single, is claimed as a dependent on her sons tax return. During 2017, she had dividend income of $2,500 and $1,900 of earned income from housecleaning. What is her taxable income?

c) Cecil incurred $60,000 of interest expense related to his investments in 2017. His investment income included $30,800 of interest and a $24,200 net long term capital gain on the sale of securities. Cecil has asked you to compute the amount of his deduction for investment interest, taking into consideration any options he might have. What is the maximum amount of Cecils investment interest deduction in 2017?