For purposes of computing the deduction for qualified residence interest, a qualified residence includes the taxpayers principal residence and two other residences of the taxpayer or spouse.

true or false

Allan contributed a painting to the Metropolitan Art Museum of St. Louis, MO. The painting, purchased six years earlier, was worth $40,000 when donated, and Allan's basis was $25,000. If this painting is immediately sold by the museum and the proceeds are placed in the general fund, Allans charitable contribution deduction is $25,000 (subject to percentage limitations).

true or false

David contributed stock worth $16,000 to his college alma mater, a qualified charity. He acquired the stock 11 months ago for $4,000. He may deduct $16,000 as a charitable contribution deduction (subject to percentage limitations).

true or false

Ronald contributed stock worth $12,000 to the Childrens Protective Agency, a qualified charity. He acquired the stock 20 months ago for $7,000. He may deduct $7,000 as a charitable contribution deduction (subject to percentage limitations).

true or false

Contributions to public charities in excess of 50% of AGI may be carried back three years or forward for up to five years.

true or false

Grasons sole source of income is from a restaurant that she owns and operates as a proprietorship. Any state income tax Grason pays on the business net income must be deducted as a business expense rather than as an itemized deduction.

true or false