w/o 52-AGI exp.
Moving Exp.
AGI
120,000
-4,000 FOR AGI
116,000
MID:
Auto. Exp.
Enter. @ 50%
Travel w/o meals
Meals @ 50%
Dues
Total MID
2% floor
2,500
750
2,000
250
500
6,000
-2,320
3,680 FROM AGI
53-Air and Lodging
Travel Meals @50%
Transportation
Enter. @ 50%
Total FOR AGI
4,000
500
2,000
1,000
7,500 self-employed
c.
Now they are FROM AGI and MID, subject to 2% floor
54--
FROM AGI
Airfare
Taxi
Travel Meals @50%
Laundry away from home
Lodging
Bus. Meals @50%
Enter. @ 50%
Invest. Exp.
Tax return. Prep.
1,500
100
150
50
650
250
250
1,000
500
4,450
-1,400
3,050 From AGI
Less 2% floor
Total MID
55-
Away from home for less than one year
Airfare
Airfare
Apartment Rent
Meals @ 50%
Enter. @ 50%
Total MID
Less: 2% floor
800
8,000
10,000
4,250
1,000
24050
-2,400
21650 FROM AGI, MID
d.
Yes, now they are personal expenses and not deductible because she is not away from home
e.
potentially only the expenses for 10 months would be deductible
56--
a.
air
meals
hotel
enter.
450
150
300
500
1400
(50X3)
(100X3)
fully reimbursed expenses are FOR AGI, but the reimbutsement is not shown on the return so the expenses are not shown
b
c.
57--
5,000 - 3,000 = 2,000 Unreimbursed expenses
3,000/5,000 = 60% Reimbursed
2,000/5000 = 40% Unreimbursed
Dues
Air and Lodging
Transportation
Enter. @ 50%
Total
FOR (60%)
600
1,200
600
600
3,000
From (40%)
400
800
400
200 400@50%
1,800
other deductions
c.
1,000
2,000
1,000
1,000
1,000
2,800
now there would be a 1,000 of income to be reported unless she returns the amount
58-a. and b.
AGI w/o exp.
Moving
AGI
ID:
Mortgage Int.
Prop. Tax
MID:
Safe Deposit
Tax Ret. Prep.
Unreimbursed.
Unreim. Meals
Total
2% Floor
MID
Total ID
PE
Taxable Income
100,000
-2,000 FOR AGI
98,000
12,000
1,800
50%
100
500
6000
600
7200
-1960
5,240
c.
ID:
Mortgage Int.
Prop. Tax
MID:
Safe Deposit
Tax Ret. Prep.
Unreimbursed.
Unreim. Meals
Total
2% Floor
MID
Total ID
59-a. & b.
c.
60-a.
5,000 MID, subject to 2% floor
5,000 FOR AGI (not subject to 2% floor)
24,000 x .50
Parkings & Tolls
Reimburse.
b.
Total Parking Expenses
Less: and Tolls
Bus. Usage
12,000
100
11,900
9,600 (24,000 x .40)
2,300 MID subject to 2% floor
20,400 40,000*.51
100
20,500
-16,000 40,000*.40
4,500
16,500
100
16,400
x .60
9,840
Parking and Tolls
Reimburse.
MID subject to 2% floor
c.
61-Dues
Business lunches
Entertain. @ 50%
Entertain. @ 50%
62-Football tickets
Skybox
Total
63-a.
1,000
0
1,000
750
2,750 FOR AGI
3,600 face value
7,200 (20 x $60 x 6)
10,800
x 50%
5,400
11,250 Reimbursement:
Latrisha does not report the reimbursement or deduct the expenses on her return.
Company would get a deduction of 5,850 + 1,800 + 600 + 1,200 = 9,450
9,000 Reimbursement:
11,250 - 9,000 = 2,250 Unreimbursed
9,000/11,250 = 80% reimbursed
2,250/11,250 = 20% unreimbused
Air
Lodging
Meals
Enter.
FROM AGI 20%
FOR AGI 80%
5,850 1,170
4,680
1,800
360
1,440
1,200
120
960
2,400
240
1,920
11,250 MID, subject to 2% floor
9,000
1,890
Company would get a deduction of 4,680 + 1,440 + 480 + 960 = 7,560
14,000 Reimbursement:
b.
Air
Lodging
Meals
Enter.
MID, subject to 2% Floor
64-Direct Moving expenses
Auto
Moving Van
Total Moving
FOR AGI
c.
65-a.
b.
c.
d.
e.
72-a.
b.
c.
d.
62,000 - 56,000 = 6,000/10,000 = 60% phase out
5,000 X 40% = 2,000 IRA deductible FOR AGI in 2010
57,000 - 56,000 = 1,000/10,000 = 10% phase out
5,000 X 90% = 4,500 IRA for 2011
FOR AGI
50,000 in either 2010 or 2011
5,000 IRA, plus another 5,000 for a spousal IRA
73-a.
b.
c.
d.
e.
f.
10,000
2011
FOR AGI
still 10,000 because they did not have AGI of 90,000
yes however it cannot total more tan 5,000
phil cannot deduct any ira but his wife can have a spousal ira of 5,000
74-a.
Roth
not eligble for a traditional because her income exceeds 66,000
111,000 - 105,000 = 6,000/15,000 = 40% phase out
113,000 - 107,000 = 6,000/15,000 = 40% phase out
5,000 X 60% = 3,000 Roth IRA
b.
2,000 X 6 years = 12,000
15,000-12,000=3,000 would be taxable as income and subject to 10%
penalty for early withdrawal
House: non taxable
c.
in 2011 and after she can do this andpay tax on the rollover