Darin's,who is age 30,has itemized deductions in calculating 2015 taxable income as follows. Medical expenses [$15,000 - 10%($100,000)] $ 5,000 Mortgage interest on personal residence 7,000 State income taxes 4,000 Real property taxes 4,500 Personal property taxes 2,500 Casualty loss [$14,000 (after $100 floor) - (10% × $100,000)] 4,000 Charitable contributions 3,500 Gambling losses ($3,200 limited to gambling income of $1,000) 1,000 Miscellaneous itemized deductions [$2,500 - 2%($100,000)] 500 Itemized deductions $32,000
a.
Calculate Darin's itemized deductions for AMT purposes using the direct method.
b.Calculate Darin's itemized deductions for AMT purposes using the indirect method.

Question

Darin's,who is age 30,has itemized deductions in calculating 2015 taxable income as follows. Medical expenses [$15,000 - 10%($100,000)] $ 5,000 Mortgage interest on personal residence 7,000 State income taxes 4,000 Real property taxes 4,500 Personal property taxes 2,500 Casualty loss [$14,000 (after $100 floor) - (10% × $100,000)] 4,000 Charitable contributions 3,500 Gambling losses ($3,200 limited to gambling income of $1,000) 1,000 Miscellaneous itemized deductions [$2,500 - 2%($100,000)] 500 Itemized deductions $32,000 ​
a.​
Calculate Darin's itemized deductions for AMT purposes using the direct method.
b.Calculate Darin's itemized deductions for AMT purposes using the indirect method.

Quizplus · Accepted Answer

The Answer of Darin's,who is age 30,has itemized deductions in calculating 2015 taxable income as follows. Medical expenses [$15,000 - 10%($100,000)] $ 5,000 Mortgage interest on personal residence 7,000 State income taxes 4,000 Real property taxes 4,500 Personal property taxes 2,500 Casualty loss [$14,000 (after $100 floor) - (10% × $100,000)] 4,000 Charitable contributions 3,500 Gambling losses ($3,200 limited to gambling income of $1,000) 1,000 Miscellaneous itemized deductions [$2,500 - 2%($100,000)] 500 Itemized deductions $32,000 ​
a.​
Calculate Darin's itemized deductions for AMT purposes using the direct method.
b.Calculate Darin's itemized deductions for AMT purposes using the indirect method.

Darin's,who Is Age 30,has Itemized Deductions in Calculating 2015 Taxable