Exam 5: Itemized Deductions

What are four major categories of deductible taxes for individual returns?

Which of the following miscellaneous itemized deductions are not subject to the 2% adjusted gross income limitation?

The cost of aspirin and over-the-counter cough medicine is a deductible medical expense even though they are nonprescription drugs.

Adrian,an NFL running back,is advised by his physician to install a Jacuzzi in his residence since he is afflicted with a back problem incurred after years of running into linebackers.The cost of installing the Jacuzzi is $6,500.He installs the Jacuzzi in January of 2016,and it increases the value of his residence by $3,500.Disregarding the limitation based on adjusted gross income,how much of the cost of the Jacuzzi may Adrian take into account in determining his medical expense deduction for 2016?

Malika and Henry's vacation home was completely destroyed by fire.They had no insurance to cover the loss.On which of the following forms would they report their loss?

Which of the following items would be an itemized deduction on Schedule A of Form 1040 subject to the 2% of AGI floor?

Taxpayers can deduct qualified residence interest on their principal residence and on a second residence selected by the taxpayer.

The standard business mileage rate for automobiles for 2016 is 54.0 cents per mile.

Often,individuals who purchase a home with a down payment of less than 20% are required to pay a mortgage insurance premium or,as it is sometimes referred to,private mortgage insurance PMI).What is the treatment for mortgage insurance contracts issued in 2016?

Unreimbursed employee business expenses for travel qualify as itemized deductions subject to the 2% floor.

Personal casualty losses resulting from termite damage are deductible.

Robert and Becky husband and wife)are both lawyers and they contribute money to various organizations each year.They file a joint return and their adjusted gross income for 2016 is $100,000.They contributed to the following organizations in 2016: • $5,000 to Alta Sierra country club • $10,000 to prevent cruelty to animals • $2,000 to State Bar Association Political Action Committee • $12,000 to cancer research foundation • Donated clothing to Salvation Army.Robert originally purchased the items for $400,but the fair market value of the same items at a thrift store is equal to $50.) How much can Robert and Becky deduct as charitable contributions for the year 2016?

Which of the following miscellaneous itemized deductions is not subject to the 2% of adjusted gross income limitation?

Describe the concept of a 10% floor for medical deductions.

When performing services for a charitable organization,is any charitable deduction allowed? If so,explain.

To qualify for a medical expense deduction as taxpayer's dependent,a person must be a dependent either at the time the medical services were provided or at the time the expenses were paid.A person generally qualifies as a dependent for purposes of the medical expense deduction if the person:

Premiums paid for long-term care insurance policies may be deductible as medical expenses.

What is the proper treatment for prescription drugs obtained from sources outside the United States,such as Canada,that have been prescribed by a physician for the treatment of a medical condition and the FDA has approved that they can be legally imported?

If a taxpayer's personal property is completely destroyed,the casualty loss deduction is still reduced by a required floor amount.

Shirin resides in a state that imposes a tax on income.The following information relates to Shirin's state income tax situation for 2016: Assuming she elects to deduct state and local income taxes,what amount should Shirin use to calculate itemized deductions for her 2016 federal income tax return?