Question
Charles has AGI of $50,000 and has made the following payments related to (1) land he inherited from his deceased aunt and (2) a personal
Charles has AGI of $50,000 and has made the following payments related to (1) land he inherited from his deceased aunt and (2) a personal vacation taken last year. Calculate the amount of taxes Charles may include in his itemized deductions for the year under the following circumstances: State inheritance tax on the land $1,200 County real estate tax on the land 1,500 School district tax on the land 690 City special assessment on the land (replacing curbs and gutters) 700 State tax on airline tickets (paid on vacation) 125 Local hotel tax (paid during vacation) 195
a. Suppose that Charles holds the land for appreciation.
b. Suppose that Charles holds the land for rent.
c. Suppose that the vacation was actually a business trip.
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