Simpson, age 45, is a single individual who is employed full-time by Duff Corporation. This year Simpson reports AGI of $39,000 and has incurred the
Simpson, age 45, is a single individual who is employed full-time by Duff Corporation. This year Simpson reports AGI of $39,000 and has incurred the following medical expenses:
Dentist charges | $ | 1,030 |
Physician's charges | 1,015 | |
Optical charges | 720 | |
Cost of eyeglasses | 585 | |
Hospital charges | 2,720 | |
Prescription drugs | 275 | |
Over-the-counter drugs | 635 | |
Medical insurance premiums (not through an exchange) | 1,055 | |
|
a. Calculate the amount of medical expenses that will be included with Simpsons itemized deductions after any applicable limitations. Medical Expenses:
b. Suppose that Simpson was reimbursed for $520 of the physician's charges and $1,315 for the hospital costs. Calculate the amount of medical expenses that will be included with Simpsons itemized deductions after any applicable limitations. Medical Expenses:
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