Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Dora, a single, cash-method taxpayer, paid the following taxes in the current year, Dora employer withheld $5100 for federal income taxes, $1900 for state income

Dora, a single, cash-method taxpayer, paid the following taxes in the current year, Dora employer withheld $5100 for federal income taxes, $1900 for state income taxes, and $3500 for FICA from her paychecks. Dora purchased a new car and paid $750 in sales tax and $80 for the license. The car's FMV was $25000 and it weighted 3000 pounds. The county also assessed a property tax on the car. The tax was 2% of the car's value and $5 per hundredweight. Doar uses the car 100% of the time for personal purposes. Dora sold her house on April 20 of the current year. The county's property tax on the home for the year is $2000, payable on February 1 of the current year. The county's real property tax year is the calendar year. Dora"s AGI for the year is $62000 and her other itemized deductions exclusive of taxes are $5000 (disregard any leap year).

a. What is Dora's deduction for taxes in the current year?

b. Where should Dora report her deduction for the taxes on her tax return?

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

International Financial Accounting And Reporting

Authors: Ciaran Connolly

2nd Edition

0903854724, 978-0903854726

More Books

Students also viewed these Accounting questions

Question

=+What can I do to make this press worthy?

Answered: 1 week ago