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Bob and Jane Smith are married and have two dependent children, Cindy, age 16, and Bobby, age 14. For 2018, their adjusted gross income (AGI)

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Bob and Jane Smith are married and have two dependent children, Cindy, age 16, and Bobby, age 14. For 2018, their adjusted gross income (AGI) is S130,000. They had deductions consisting of Doctor and dentist visits $4,700 2100 300 1,500 5,500 Prescription medicine Eyeglasses Surgery for Bobby Miles driven for medical purposes - 400 miles Dust climination system (Cindy suffers from allergies and her physician recommended that the Smiths install a dust climination system in their home. The system cost $3,200 and the increase in the value of their residence was determined to be $1,000. As a result of installing the system, their utilities increased S250 for the year.) State income taxes withheld from 9.500 Estimated state income tax payments 4/15/2018 615/2018 9/15/2018 1/15/2019 500 500 500 500 Personal property taxes on their autos Real estate taxes on personal residence Interest on qualified residence Interest on loan used to buy tax-exempt municipal bonds Cash charitable contributions (with appropriate substantiation) Miles driven for charitable purposes Houschold goods (all in good or better condition) donated to Goodwill (the 650 7.500 1,200 -300 miles goods cost S1,800 and the fair market value is $450) Cash given to homeless (or street) people so they can buy food 250 This table can be copied and pasted into Excel to provide a starting place Note: In your worksheet, show both total deductible taxes before any limitation and then total deductible taxes after limitation. Summarize your answer in a table similar to the following: Deductible Medical Deductible Taxes Deductible Interest Deductible Charitable Total Itemized Deductions

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