Exam 10: Deductions and Losses: Certain Itemized Deductions

Fred and Lucy are married and together have AGI of $120,000 in 2012.They have four dependents and file a joint return.They pay $5,000 for a high deductible health insurance policy and contribute $2,600 to a qualified Health Savings Account.During the year, they paid the following amounts for medical care: $9,200 in doctor and dentist bills and hospital expenses, and $3,000 for prescribed medicine and drugs.In October 2012, they received an insurance reimbursement of $4,400 for the hospitalization.They expect to receive an additional reimbursement of $1,000 in January 2013.Determine the maximum deduction allowable for medical expenses in 2012.

(Multiple Choice)

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Question 101

Erica, Carol's daughter, has a mild form of autism. Dr.Malone recommends that Carol send Erica to a special school for autistic children when she enters first grade. Erica may include the cost of tuition, meals, and lodging for the special school when computing her medical expense deduction.

(True/False)

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Question 102

Any capital asset donated to a public charity that would result in long-term capital gain if sold, is subject to the 30%-of-AGI ceiling limitation on charitable contributions for individuals.

(True/False)

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(78)

Question 103

The reduced deduction election enables a taxpayer to move from the 30%-of-AGI limitation to the 50%-of-AGI limitation.

(True/False)

4.9/5

(74)

Question 104

Contributions to public charities in excess of 50% of AGI may be carried back 3 years or forward for up to 5 years.

(True/False)

4.9/5

(84)

Question 105

Paul, a calendar year married taxpayer, files a joint return for 2012. Information for 2012 includes the following: Paul's allowable itemized deductions for 2012 are:

(Multiple Choice)

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(91)

Question 106

Showing 101 - 106 of 106

Erica, Carol's daughter, has a mild form of autism. Dr.Malone recommends that Carol send Erica to a special school for autistic children when she enters first grade. Erica may include the cost of tuition, meals, and lodging for the special school when computing her medical expense deduction.

Any capital asset donated to a public charity that would result in long-term capital gain if sold, is subject to the 30%-of-AGI ceiling limitation on charitable contributions for individuals.

The reduced deduction election enables a taxpayer to move from the 30%-of-AGI limitation to the 50%-of-AGI limitation.

Contributions to public charities in excess of 50% of AGI may be carried back 3 years or forward for up to 5 years.

Paul, a calendar year married taxpayer, files a joint return for 2012. Information for 2012 includes the following: Paul's allowable itemized deductions for 2012 are:

An Introduction to Taxation and Understanding the Federal Tax Law

Working With the Tax Law

Computing the Tax

Gross Income: Concepts and Inclusions

Gross Income: Exclusions

Deductions and Losses: in General

Deductions and Losses: Certain Business Expenses and Losses

Depreciation, Cost Recovery, Amortization, and Depletion

Deductions: Employee and Self-Employed Related Expenses

Investor Losses

Tax Credits and Payments

A: Property Transactions: Determination of Gain or Loss, Basis Considerations, and Nontaxable Exchanges-Part 1

Property Transactions: Determination of Gain or Loss, Basis Considerations, and Nontaxable Exchanges-Part 2

Property Transactions: Capital Gains and Losses, 1231, Recapture Provisions

Alternative Minimum Tax

Accounting Periods and Methods

Corporations: Introduction and Operating Rules

Corporations: Organization and Capital Structure

Corporations: Distributions Not in Complete Liquidation

Corporations: Distributions in Complete Liquidation and an Overview of Reorganizations

Partnerships

S: Corporations

Exempt Entities

Multistate Corporate Taxation

Taxation of International Transactions

Tax Practice and Ethics

Income Taxation of Trusts and Estates

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