Camille Sikorski was divorced last year. She currently provides a home for her 15-year-old daughter, Kaly, and

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Camille Sikorski was divorced last year. She currently provides a home for her 15-year-old daughter, Kaly, and 18-year-old son, Parker. Both children lived in Camille’s home, which she owns, for the entire year, and Camille paid for all the costs of maintaining the home. She received a salary of $105,000 and contributed

$6,000 of it to a qualified retirement account (a for AGI deduction). She also received $10,000 of alimony from her former husband. Finally, Camille paid $5,000 of expenditures that qualified as itemized deductions.

a) What is Camille’s taxable income?

b) What would Camille’s taxable income be if she incurred $14,000 of itemized deductions instead of $5,000?

c) Assume the original facts except that Camille’s daughter, Kaly, is 25 years old and a full-time student. Kaly’s gross income for the year was $5,000.

Kaly provided $3,000 of her own support, and Camille provided $5,000 of support. What is Camille’s taxable income?

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McGraw-Hill's Taxation Of Individuals

ISBN: 9781259729027

2017 Edition

Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver

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