Question
please answer all parts true or false with an explanation please type your response 7) Gerald, a physically handicapped individual, pays $9,000 for the installation
please answer all parts
true or false with an explanation
please type your response
7) Gerald, a physically handicapped individual, pays $9,000 for the installation of wheelchair ramps,
support bars, and railings in his personal residence. These improvements increase the value of his
personal residence by $2,000. Only $7,000 of the expenditure qualifies as a medical deduction.
8) Points paid on the loan for the purchase of a new home are not deductible on an
individual's tax return.
9) Warren sold his personal residence to Alicia on July I, 2008. He had paid $4,200 in real property
taxes on March l, 2008, the due date for property taxes for 2008. Warren must increase the
amount realized for his property by the portion of the $4,200 allocable to Alicia.
l 0) In April 2008, Bertie, a calendar year cash basis taxpayer, had to pay the state of Michigan
additional income tax for 2007. Even though it relates to 2007, for Federal income tax purposes
the payment qualifies as a tax deduction for tax year 2008.
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