Sara, age 38, has been preparing her 2020 tax return. Her filing status is single. She comes to you and tells you that she understands how to do the return except for the Itemized deductions. She has provided you with the following information and has asked you to compute the amount she can deduct for itemized deductions.

In addition, she has asked you specifically about the doctors and dentist bills for her parents shown below. She has been warned by an attorney friend that these might be a problem to deduct. Sara has already computed her AGI to be $272,000.

TO DO:

Please compute Saras itemized deductions (show calculations) AND please RESEARCH and print at least one authoritative supporting document (code, regs, revenue rulings) that will support your conclusion as to deductibility of parents doctor and dentist bills. You do NOT need to print the whole document, just the page(s) specifically relevant to your research.

Medical insurance premiums $11,650

Charitable contribution to St. Lukes Church 700

State income tax paid 1,250

Prescription medicines for herself 2,850

Doctor and Dentist bills for her parents (her dependents) 5,550

Doctor and Dentist bills for herself 6,000

State sales tax paid 750

Investment advisor fees 6,200

Mortgage interest paid during the year 12,600

Nonprescription insulin for herself 1,560

Over-the-counter medications 375

Credit card interest paid 3,120

Note: Above Research is based on U.S. Individual Taxation.