Question
[The following information applies to the questions displayed below.] Simpson is a single individual who is employed full-time by Duff Corporation. This year Simpson reports
[The following information applies to the questions displayed below.] Simpson is a single individual who is employed full-time by Duff Corporation. This year Simpson reports AGI of $46,000 and has incurred the following medical expenses:
Dentist charges | $ | 1,185 |
Physician's charges | 1,950 | |
Optical charges | 760 | |
Cost of eyeglasses | 490 | |
Hospital charges | 2,560 | |
Prescription drugs | 365 | |
Over-the-counter drugs | 940 | |
Medical insurance premiums (not through an exchange) | 965 | |
|
a. Calculate the amount of medical expenses that will be included with Simpsons itemized deductions after any applicable limitations.
b. Suppose that Simpson was reimbursed for $540 of the physician's charges and $1,480 for the hospital costs. Calculate the amount of medical expenses that will be included with Simpsons itemized deductions after any applicable limitations
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