Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Dawn, a single, cash method taxpayer, paid the following in the current year: Item Amount Federal income tax (employer withheld) $5,400 State income tax (employer

Dawn, a single, cash method taxpayer, paid the following in the current year: Item Amount Federal income tax (employer withheld) $5,400 State income tax (employer withheld) 2,000 FICA (employer withheld) 3,800 Sales tax on a new car 600 License for new car 70 Dawn's new car has a FMV of $20,000 and it weighs 3,000 pounds. The county also assessed a property tax on the car. The tax was 2% of its FMV and $10 per hundred weight. The car is used 100% of the time for personal purposes. Dawn sold her house in the current tax year on April 15th. The county's property tax on the home for the tax year was $1,850, payable on February 1st of the following year. The county's property tax year is the calendar year. Dawn's AGI for the current tax year is $50,000 and her other itemized deductions exclusive of taxes are $4,000. Required: Solution a. What is Dawn's deduction for taxes in 2010? Note: Show all calculations.

Step by Step Solution

3.58 Rating (155 Votes )

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

Federal Taxation 2019 Comprehensive

Authors: Thomas R. Pope, Timothy J. Rupert, Kenneth E. Anderson

32nd Edition

134740696, 9780134740690, 978-0134833194

More Books

Students also viewed these Accounting questions

Question

Describe the location of the parts of the small intestine.

Answered: 1 week ago

Question

Nuncio Consulting t account

Answered: 1 week ago

Question

What are three disadvantages of using the direct write-off method?

Answered: 1 week ago