Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Marcus (ssn 397-73-8399) and Debra Cross own three homes. Information regarding the amount of acquisition indebtedness, as well as interest and taxes paid on each

Marcus (ssn 397-73-8399) and Debra Cross own three homes. Information regarding the amount of acquisition indebtedness, as well as interest and taxes paid on each home during the year is as follows.

Acquisition Debt Interest paid Taxes paid
Main home $240,000 $18,330 $2,400
Vacation home #1 300,000 18,583 2,800
Vacation home #2 350,000 19,044 3,400

During 2012 the crosses made cash gifts totaling $12,000 to various qualified public charities. The Crosses gifted 150 shares of stock to their church during 2012. They purchased 100 shares of the stock for $10 a share in 2008. The other 50 shares were purchased earlier in 2012 for $18 a share. At the times the shares were donated to the church, their fair market value was $24 a share. The Crosses only other itemized deductions for 2012 were $4,240 that their employers withheld from their paychecks for state income taxes. The Crosses AGI for 2012 is $216,952. Compute the Crosses total itemized deductions and prepare their schedule A.

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

Fiduciary Finance Investment Funds And The Crisis In Financial Markets

Authors: Martin Gold

1st Edition

1848448953, 9781848448957

More Books

Students also viewed these Finance questions

Question

What is ethnocentric bias?

Answered: 1 week ago