• Use the Internal Revenue Code on Checkpoint for this research and fill-in the I.R.C. , Subsection [e.g., 12(a) or 12a], and paragraph (if applicable). Note, your answer should follow this format: 12(a) or 12a Otherwise, the system will mark it as incorrect.
• include where i can find the information for the answer on checkpoint

Question 1

Hank is purchasing a new principal residence for $1,300,000, and plans to finance the purchase with a mortgage in the amount of $1,100,000. Which I.R.C. , subsection, and paragraph provide the maximum amount of mortgage indebtedness on which the interest expense will be deductible?

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Question 2

Jean and Scott are married and have one child, Ororo, who is three years old. Jean recently graduated college and she works as an accountant. Scott attends school full-time during the fall and spring semesters at a local university. Jean earns $35,000 during the year and the couple incurred $2,100 in child care expenses so that Scott could attend his classes. Which I.R.C. , subsection, and paragraph provides the maximum amount of employment related expenses that the taxpayers can use to determine their child care tax credit?

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Question 3

Logan, your client, contacts you and says that he expects to incur a net capital loss for calendar year 2023. Logan would like to know what the treatment is of the carryforwards in future years. Identify the I.R.C. section and subsection for the treatment of an individuals capital loss carryforward.

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Question 4

Bobby and Marie are married on February 14, 2023. The couple uses Maries house as their residence and sold Bobbys house on June 3, 2023 for $530,000. Bobby had purchased his house in 2016 for $212,000. Which I.R.C. , subsection, and paragraph provides the general limit on the amount of gain that can be excluded?

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Question 5

In February of 2023, Xavier was required to have a kidney transplant. The surgery cost $150,000, and his insurance covered $120,000. Xavier paid the remaining $30,000 in March of 2023. Which I.R.C. and subsection determine the extent to which Xaviers unreimbursed medical expenses will be deductible?

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