Ch 3 Text Version Solutions
38.[LO2, LO3 PLANNING] Isabel, a calendar-year taxpayer, uses the cash method of
accounting for her sole proprietorship. In late December she received a $20,000 bill from her
accountant for consulting services related to her sm
Ch 4 Text Version Solutions
26. [LO 1] Jeremy earned $100,000 in salary and $6,000 in interest income during the year.
Jeremy has two qualifying dependent children who live with him. He qualifies to file as head of
household and has $17,000 in itemized de
Ch 5 Text Version Solutions
[LO 1] Louis files as a single taxpayer. In April of this year he received a $900 refund of state
income taxes that he paid last year. How much of the refund, if any, must Louis include in gross
income under the following i
Ch 6 Text Version Solutions
[LO 1] Clem is married and is a skilled carpenter. Clems wife, Wanda, works part-time as
a substitute grade school teacher. Determine the amount of Clems expenses that are
deductible for AGI this year (if any) under the fol
Chapter 04. Individual Tax
1 Jan is single. In 2014, she had a salary of $250,000.
After taking into account all deduction limits and phase-outs,
her exemption and itemized deductions amounted to a total of $30,000.
She also received $10,000 of interest o