ch5 - ch5 Student: _ 1. For medical expenses, only expenses...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
ch5 Student: ___________________________________________________________________________ 1. For medical expenses, only expenses in excess of 10 percent of adjusted gross income are deductible. True False 2. In 2008, Roxanne's nephew was her dependent. For 2009, he no longer qualifies as her dependent. However, she paid $650 in 2009 for medical expenses she incurred in 2008 when he was her dependent. Roxanne can include the $650 in figuring her medical expense deduction in 2009. True False 3. The cost of aspirin and over-the-counter cough medicine is a deductible medical expense even though they are nonprescription drugs. True False 4. Prescription drugs obtained outside the United States, such as from Canada, are never deductible on a U.S. tax return. True False 5. Premiums paid for long-term care insurance policies may be deductible as medical expenses. True False 6. State and local taxes are generally not deductible as an itemized deduction on an individual income tax return. True False 7. For 2009, sales taxes are deductible as an itemized deduction as well as an additional standard deduction amount for those taxpayers that take the standard deduction and purchase a new vehicle after February 1, 2009. True False 8. A taxpayer generally has the option of deducting foreign taxes paid on Schedule A or taking a foreign tax credit. True False 9. Personal property taxes paid on personal-use assets, such as the family car, are deductible on Schedule A. True False 10. Taxpayers can deduct qualified residence interest on their principal residence and on a second residence selected by the taxpayer. True False
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
11. For 2009, taxpayers may take an above-the-line deduction for the amount of mortgage insurance premium paid in 2009. True False 12. For 2009, the investment interest expense deduction is limited to the taxpayer's gross investment income. True False 13. Rick and Claudia live in an apartment and have purchased land where they plan to build their home. They have a mortgage on the lot and have received a Form 1098 from the lender showing the interest paid on the note. Interest paid on this loan is deductible as home mortgage interest on their Schedule A. True False 14. In order to deduct a charitable contribution, taxpayers must itemize on their return. True False 15. Cynthia makes weekly contributions of $30 to her church. She pays by check. Since her annual contributions to the church are more than $500, she must obtain a written acknowledgment to support her contribution deduction. True False 16. Individual taxpayers may carry forward for five years charitable contributions that are not allowed as a deduction in the current year due to the adjusted gross income limitation. True False
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 02/27/2012 for the course ACCT 3221 taught by Professor Armentor during the Spring '08 term at LSU.

Page1 / 28

ch5 - ch5 Student: _ 1. For medical expenses, only expenses...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online