Question
Max and Mindy, both age 66, are married-filing-jointly taxpayers living in southern Texas. Max has mostly retired from his job working on drilling rigs and
Max and Mindy, both age 66, are married-filing-jointly taxpayers living in southern Texas. Max has mostly retired from his job working on drilling rigs and Mindy works as an accountant for a local restaurant. Their 19-year-old son, Jim, lives with them and is a full-time student at Southeast Texas State Veterinary College. Jim earned $1,000 during the year as a teaching assistant but his parents provide most of his support. Max suffered several on-the-job injuries during his career. Max and Mindy's combined gross income is $50,000 and their AGI is $30,000. They itemize their deductions on their individual federal income tax return. For each item below, indicate the amount that is a qualifying medical expense. Enter all amounts as positive whole numbers. If the response is zero, enter a zero (0). For the last question, assuming that their qualifying medical expenses are $8,000 and the AGI floor is 7.5 percent in the current year, what is the actual amount of Max and Mindy's medical expenses deduction on their Year 1 Schedule A?
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