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Amelie is self-employed and uses her personal automobile in connection with her business. During 2020, Amelie drove her car a total of 28,000 miles. Her

Amelie is self-employed and uses her personal automobile in connection with her business. During 2020, Amelie drove her car a total of 28,000 miles. Her business log shows that she drove 22,400 miles for business purposes. During 2020, Amelie incurred the following actual expenses based on 100% use, that is, 28,000 total miles:

Gas and oil $7800

Repairs and maintenance $1200

Depreciation $5800

Insurance $1440

Licenses and fees $300

Total $16540

  1. Compute Amelies deduction if she uses the actual cost method.
  2. Compute Amelies deduction if she uses the standard mileage method.
  3. Assume Amelie used the standard mileage method in 2020. In addition to the automobile expenses, she made several business trips and incurred the following travel expenses while away from home overnight:

Airfare $4600

Hotel 1860

Meals $720

Taxi fees and tips $280

Total $7460

None of the above expenses were personal in nature. What are Amelies deductions in 2020 after all limitations?

  1. Would Amelies deduction in 2020 be for AGI or from AGI?

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