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Barb is a CPA. She operates a tax practice.
During the year, she spent the following:
Annual CPA license renewal fee:
Fees for CPE courses to meet State CPA Board Requirement:
Tuition for first semester in law school - attending night school:
How much of these expenses should Barb deduct on her federal income tax return?
A single taxpayer had the following income and expenditures in the current year.
Deductible contribution to IRA
NC Income Tax
What is the taxpayer’s adjusted gross income?
Which one of these types of deductions is not deductible in arriving at adjusted gross income?
Expenses of rental property
Mr. and Mrs. Smith
have combined salaries of $60,000.
Their only expenditures affecting the tax return are state
income taxes of $6,000 and real estate taxes amounting to $2,000.
They have two small children whom they
support, and file a joint return.
They have taxable income
for the current year (2010) of:
Not more than 36,000
More than $36,000, but not more than $37,000
More than $37,000, but not more than $38,000
More than $38,000
Jan started two corporations on January 1, 2010: (1) Computer Repair Corporation and (2) a Web Consulting
Corporation. She elected S status for the web consulting corporation. The income statements for these two
corporations are shown below for 2010.
Salary to Jan (owner)
Net income before taxes
Dividends paid to Jan
How much total income does Jan report from these two entities?
A taxpayer has the following amounts of income and expenses from these investments:
U.S. Bond Newsletter
General Motors bonds
Corporate Bond Newsletter
City of Charlotte Bonds
Municipal Bond Newsletter
What is the amount of the miscellaneous itemized deduction, before considering the 2% threshold?