Question

Rita and Carl Cambridge are both over age 65 and use the filing status married filing...

Rita and Carl Cambridge are both over age 65 and use the filing status married filing jointly. Their AGI is $211,008. Their total allowable itemized deductions are $22,908. How much should they deduct on their return for the standard deduction or itemized deductions?

a) $24,000
b) $22,908
c) $26,600
d) $0, AGI is too high to itemize.

(2018 tax year. Please explain how you came about your answer.)

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Ans is (c) $ 26,600

For 2018, Standard deduction for filing status married filing jointly is $ 24,000 and $ 12,000 for single filers.

An additional deduction is allowed to filers above the age of 65.Additional amount for filing status married filing jointly is $ 26,00

So, Total standard deduction will be $ 24,000+$ 2,600 = $26,600

Allowable itemized deduction are $22,908.

As standard deduction is more than the itemized deduction, Rita & Carl should deduct $26,600 as their standard deduction.

Please upvote if you find the ans helpful.Thanks

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Use the hypothetical information provided below on AGI, Family Structure and Filing Status, Itemized Deductions (relative...
Use the hypothetical information provided below on AGI, Family Structure and Filing Status, Itemized Deductions (relative to the Standard Deduction), Withholdings, Tax Credits, and the tax rates to compute the average and marginal tax rate for a taxpayer. AGI=$100,000; Married Filing Jointly; 2 Children; Itemized Deductions=$25,000; Standard Deduction=$24,000; Child Credit $1000 per child. Withholding=$9,000; Tax Rates: 10% for first $10000 of Taxable Income; 15% of next $50,000 of taxable income; 22% of the rest.
In 2017, Deon and NeNe are married filing jointly. They have three dependent children under 18...
In 2017, Deon and NeNe are married filing jointly. They have three dependent children under 18 years of age. Deon and NeNe’s AGI is $813,800, their taxable income is $722,750, and they itemize their deductions as follows: real property taxes of $10,000, state income taxes of $40,000, miscellaneous itemized deductions of $4,000 (subject to but in excess of 2% AGI floor), charitable contributions of $11,050, and mortgage interest expense of $41,000 ($11,000 of which is attributable to a home-equity loan...
Using the married filing jointly status and their income and expense​ statement, calculate the 2014 tax...
Using the married filing jointly status and their income and expense​ statement, calculate the 2014 tax liability for Shameka and Curtis Williams. First use the standard​ deduction, and then use the following itemized​ deductions: Income Expenses Earned income ​$55,000.00 Home mortgage interest ​$8,200.00 Interest income 1,700.00 Real estate and state income taxes 3,900.00 Miscellaneous deductions 500.00 Explain to the Williams which method they should use and why. Shameka and​ Curtis' total gross income for the 2014 tax year is ​$_____....
Diego, age 28, married Dolores, age 27, in 2017. Their salaries for the year amounted to...
Diego, age 28, married Dolores, age 27, in 2017. Their salaries for the year amounted to $88,750 and they had interest income of $2,660. Diego and Dolores' deductions for adjusted gross income amounted to $5,170; their itemized deductions were $8,425; they claimed two exemptions on their return; and, they filed a joint return. Table for the standard deduction Filing Status 2017 Standard Deduction Single $ 6,350 Married, filing jointly 12,700 Married, filing separately 6,350 Head of household 9,350 Qualifying widow(er)...
Mr. and Mrs. Jones, both over age 65, elect joint return status. They must file a...
Mr. and Mrs. Jones, both over age 65, elect joint return status. They must file a return for 2018 if their combined gross income equals or exceeds A. $1 B. $24,000 C. $25,300 D. $26,600
J and K are a married couple filing jointly, with two children age 14 and 18....
J and K are a married couple filing jointly, with two children age 14 and 18. They have adjusted gross income of $417,250 for 2018. How much is their allowable child tax credit?             a.     $1,638             b.     $2,000             c.     $1,100             d.     $1,600             e.     $2,500
Dante and Rosa, both under 65 and married, have a combined AGI of $45,000 in year...
Dante and Rosa, both under 65 and married, have a combined AGI of $45,000 in year 2018. Due to certain heart issues, Dante has been prescribed Lipitor by a physician. For year 2018, Dante spent a total of $3,100 on the medication and $750 on doctor’s bills. Can Dante deduct the medical costs as an itemized deduction? Explain your answer. ( Medication and doctor's bill, both are deductible? )
3. Married taxpayers filing jointly, but living apart from their spouses cannot contribute to a regular...
3. Married taxpayers filing jointly, but living apart from their spouses cannot contribute to a regular IRA if their AGI exceeds $40,000. a. True b. False 7. A taxpayer is allowed to take an itemized deduction for a casualty loss resulting from damage to the taxpayer's automobile caused by a collision, even if the taxpayer was at fault. a. True b. False 8. State inheritance taxes, estate taxes, and gift taxes are not deductible as itemized deductions. a. True b....
Bruno is married filing separate and has one dependent. His AGI is $164,000 for 2018. He...
Bruno is married filing separate and has one dependent. His AGI is $164,000 for 2018. He incurred the following expenses and losses during the year: Medical expenses before the 7.5%-of-AGI limitation $9,900 State and local income taxes 5,600 State sales tax 1,800 Real estate taxes 6,100 Home mortgage interest 7,000 Credit card interest 2,350 Charitable contribution 3,200 Casualty loss before 10% limitation (after $100 floor; not in a Federally declared disaster area) 19,000 Unreimbursed employee expenses subject to the 2%-of-AGI...
Demarco and Janine Jackson have been married for 20 years and have four children who qualify...
Demarco and Janine Jackson have been married for 20 years and have four children who qualify as their dependents (Damarcus, Janine Jr., Michael, and Candice). The couple received salary income of $100,000 and qualified business income of $10,000 from an investment in a partnership, and they sold their home this year. They initially purchased the home three years ago for $200,000 and they sold it for $250,000. The gain on the sale qualified for the exclusion from the sale of...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT