Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Camille Sikorski was divorced last year. She currently provides a home for her 15-year-old daughter Kaly. Kaly lived in Camilles home for the entire year,

Camille Sikorski was divorced last year. She currently provides a home for her 15-year-old daughter Kaly. Kaly lived in Camilles home for the entire year, and Camille paid for all the costs of maintaining the home. She received a salary of $65,000 and contributed $4,600 of it to a qualified retirement account (a for AGI deduction). She also received $8,000 of alimony from her former husband. Finally, Camille paid $15,700 of expenditures that qualified as itemized deductions.
a. What is Camilles taxable income?
b. What would Camilles taxable income be if she incurred $10,400 of itemized deductions instead of $15,700?
c. Assume the original facts but now suppose Camilles daughter, Kaly, is 25 years old and a full-time student. Kalys gross income for the year was $5,700. Kaly provided $3,420 of her own support, and Camille provided $5,700 of support. What is Camilles taxable income?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Innovation And Technology

Authors: Nikos Vernardakis

1st Edition

0415676800, 978-0415676809

More Books

Students also viewed these Finance questions

Question

Find the sum of the series. 1-e + e 2! 3! + e4 4!

Answered: 1 week ago