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PI:8-40 (similar to) Darby, a single, cash-method taxpayer, paid the following taxes in the current year: Darby's employer withheld $5,700 for federal income taxes, $2,100
PI:8-40 (similar to) Darby, a single, cash-method taxpayer, paid the following taxes in the current year: Darby's employer withheld $5,700 for federal income taxes, $2,100 for state income taxes, and $3,500 for FICA from her paychecks. Darby purchased a new car and paid $540 in sales tax and $50 for the license. The car's FMV was $18,000 and it weighed 3,000 pounds. The county also assessed a property tax on the car. The tax was 2% of the car's value and $5 per hundredweight. Darby uses the car 100% of the time for personal purposes. Darby sold her house on May 10 of the current year. The county's property tax on the home for the year is $2,300, payable on February 1 of the current year. The county's real property tax year is the calendar year. Darby's AGI for the year is $61,000 and her other itemized deductions exclusive of taxes are $9,100 (disregard any leap year). Read the requirements Requirement a. What is Darby's deduction for taxes in the current year? (Assume that the purchaser owns the house on the date of the sale. Round your answers to the nearest dollar. If an input field is not used in the table, leave the input field empty; do not select a label or enter a zero.) Tax type Amount Total deduction for taxes a. What is Darby's deduction for taxes in the current year? b. Where should Darby report her deduction for the taxes on her tax return
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