Question
PLEASE ANSWER AS SOON AS POSSIBLE : Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2023, Sandy
PLEASE ANSWER AS SOON AS POSSIBLE : Sandy and John Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2023, Sandy worked as a computer technician at a local university earning a salary of $152,700, and John worked part time as a receptionist for a law firm, earning a salary of $29,700. Sandy also does some Web design work on the side and reported revenues of $4,700 and associated expenses of $1,100. The Fergusons received $940 in qualified dividends and a $235 refund of their state income taxes. The Fergusons always itemize their deductions, get the full benefit of deducting the entire amount of state income taxes paid, and their itemized deductions were well over the standard deduction amount last year.
The Fergusons reported making the following payments during the year:
- State income taxes of $4,575. Federal tax withholding of $21,000.
- Alimony payments to Sandy's former spouse of $10,350 (divorced 12/31/2014).
- Child support payments for Sandy's child with her former spouse of $4,170.
- $12,270 of real property taxes.
- $3,600 to Kid Care day care center for Samantha's care while Sandy and John worked.
- $14,700 interest on their home mortgage ($400,000 acquisition debt).
- $3,105 interest on a $41,400 home-equity loan. They used the loan to pay for a family vacation and new car.
- $15,350 cash charitable contributions to qualified charities.
- Donation of used furniture to Goodwill. The furniture had a fair market value of $470 and cost $2,350.
What is the itemized deduction in 2023? ( I already know its not the standardized deduction of 27700), its not 40050 or 46895, or 79170. I know home equity loan is not added into the deduction. The AGI is 176571 on form 1040. QBI is 669.
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