-Which one of the following does not affect the adjusted basis of a house held as rental property?

A) depreciation deduction

B) painting of more than 50% of the rooms in the home

C) adding a new room to the house

D) installation of a completely new heating system

-On Form 1040, deductions for adjusted gross income include the amounts paid for all of the following except

A) one-half of self employment tax.

B) student loan interest.

C) contributions to a Health Savings Account.

D) home mortgage interest.

-Self-employed individuals may claim, as a deduction for adjusted gross income, 50 percent of their

A) traditional IRA contributions.

B) self-employment tax.

C) disability insurance premiums.

D) health insurance premiums.

-Assume Congress wishes to encourage healthy eating and is considering a deduction for broccoli purchases. In order to maximize the value of this tax deduction for taxpayers, Congress should provide for a(n)

A) itemized deduction.

B) deduction for AGI.

C) deduction from AGI.

D) All of the above would provide the same tax savings to taxpayers