Jolene and Abraham, who are married and file a joint return, incurred the attached medical expenses and taxes during the current year. They received $4,000 in reimbursements from their insurance company of which $300 is for the cosmetic surgery. Their adjusted gross income is $59,500. They are residents of the state of Tennessee and they have no children or dependents. REQUIRED: (1) (2) What is the amount of the deduction for medical expenses they would be allowed if they itemized deductions? Show appropriate calculations. What is the amount of the deduction for taxes they would be allowed if they itemized deductions? Show appropriate calculations. $ 4,500 950 1.925 575 170 220 1,450 165 TAXPAYERS JOLENE AND ABRAHAM MEDICAL EXPENSES AND TAXES INCURRED DURING CURRENT TAX YEAR Medical insurance premiums Hospital expenses Doctors Dentist Veterinarian Chiropractor Cosmetic surgery Over the counter drugs Prescription drugs Crutches Federal tax withheld State income tax withheld State sales taxes from actual receipts Real estate taxes on primary residence Property tax on car (ad valorem) Social Security tax Gasoline taxes Excise taxes Sales tax on motor vehicle purchased during year 195 105 5,125 1,900 370 1,740 215 4,324 124 112 1,600