Janice, age 32, earns $50,000 working in 2020. She has no other income. Her medical expenses for the year total $4,000. During the year, she suffers a casualty loss of $7,500 when her apartment is damaged by flood waters (part of a Federally declared disaster area). Janice contributes $10,000 to her church. On the advice of her friend, Janice is trying to decide whether to contribute $1,000 to a traditional IRA.

Complete the table to show the effect the IRA contribution would have on Janice's itemized deductions.

		With IRA Contribution			Without IRA Contribution
Gross income		$			$
Contribution to IRA		(1,000)			0
AGI		$			$
Itemized deductions:
	Charitable contribution	$			$
	Medical expenses	$			$
	Casualty loss	$			$
Total itemized deductions		$			$

The $1,000 IRA contribution would increase Janice's itemized deductions by $.____ As a result, the $1,000 IRA contribution reduces her taxable income by $.____