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Problem 5-15 Medical Expenses (LO 5.6) In 2020, Margaret and John Murphy (age 66 and 68, respectively) are married taxpayers who file a joint tax
Problem 5-15 Medical Expenses (LO 5.6) In 2020, Margaret and John Murphy (age 66 and 68, respectively) are married taxpayers who file a joint tax return with AGI of $28,108. During the year they incurred the following expenses: Medical insurance premiums $1,200 400 Premiums on an insurance policy that pays $100 per day for each day Margaret is hospitalized Medical care lodging (two people, one night) 80 Hospital bills 2,200 Doctor bills 750 Dentist bills 240 Prescription drugs and medicines 360 Marriage counseling 400 In addition, they drove 90 miles for medical transportation, and their insurance company reimbursed them $850 for the above expenses. On the following segment of Schedule A of Form 1040, calculate the Murphy's medical expense deduction. If required, round any amount to the nearest dollar. Enter all amounts as positive numbers. Caution. Do not include expenses reimbursed or paid by others. Medical 1 Medical and dental expenses (see instructions) 1 and 2 Enter amount from Form 1040 or 1040-SR, Dental line 11. ... 2 Expenses 3 Multiply line 2 by 7.5% (0.075). 3 4 Subtract line 3 from line 1. If line 3 is more than line 1, enter -O
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