Curt is self-employed as a real estate salesman and drives his car frequently to take clients to see homes for sale. Curt drove his car 20,000 miles for business purposes and 25,000 miles in total. His actual expenses for operating the auto including depreciation are $10,000 since he drove it so much during the year. Curt has used the actual cost method since he started his business in 2015. How much is Curt’s deductible auto expense for the year?

Q: Ryan is self-employed. This year Ryan used his personal auto for several long business trips. Ryan…

A: Tax is the amount that is charged by the government to individuals and businesses on the income…

Q: odney, a resident taxpayer, is employed by Subiaco Function Centre as a marketing manager. During…

A: Car expenses deductions are deductible from income to determine taxable income

Q: Simon lost $9,650 gambling this year on a trip to Las Vegas. In addition, he paid $2,270 to his…

A: The objective of the question is to calculate the total amount of expenses that Simon can deduct…

Q: This year, Major Healy paid $40,000 of interest on a mortgage on his home (he borrowed $800,000 to…

A: Taxable income is the measurement of income which is used to calculate the amount of tax that needs…

Q: In 2017 Rena accepted a new job and moved from Seattle to Pittsburgh to begin to work. She incurred…

A: Expense deduction is calculated by adding the moving expense, transportation expense and actual…

Q: Genie meets the requirements to deduct expenses related to a home office that she maintains in the…

A: Expenses is a term which form the bases of Balance Sheet. It simple words they are spending the…

Q: Liam Hernandez paid 112,000 for a single family home on July 1, 2021 and immediately placed it in…

A: Depreciation refers to the reduction in the value of an asset due to tear, obsolescence, market…

Q: Jose is a retired teacher who takes monthly trips to New Jersey to gamble at the Casino. Jose also…

A: Jose cannot be said to be professional gambler as he is not solely engaged in gambling activities.…

Q: Tim used his 2015 F-150 pickup truck to meet with clients and for other business needs.  The truck…

A: Assuming, the trucks driven 15,473 miles during the year 2018 instead of year 2016, and 3,541 miles…

Q: k moved from Salt Lake City, Utah to Los Angeles, California in November 15, 2022, where he was…

A: The expenses, deductions, and exemptions reduce the taxable income and ultimately the tax burden…

Q: Kensley enjoys playing blackjack at the casino every Thursday night after work. This year, she has…

A: As per the provisions of the IRS, gambling losses can be adjusted as tax-deductible losses. However,…

Q: Alex purchased a boat for $100,000 and used it for personal reasons for two years. After two years,…

A: Tax:- A tax is the compulsory payment which is imposed by the government on income and capital gain…

Q: In January 2022, Mr. D, who is self-employed, purchased a new automobile, which he uses 100% for…

A: Mr. D has two automobiles. - The first automobile is used 100% for business with 14,000 business…

Q: Anne sold her home for $290,000 in 2021. Selling expenses were $17,400. She purchased it in 2015 for…

A: Amount realized on saleAmount realized on sale is the net amount realized from sale, Selling expense…

Q: Freddie owns an electronics outlet in Houston. This year, he paid $600 to register for a four-day…

A: Business expense: Record expenses which are incurred only business purpose.

Q: A taxpayer, who is single, purchased a house on May 10, 1988, for $175,000. During the years he…

A: The objective of this question is to calculate the realized and recognized gain on the sale of a…

Q: Simon lost $9,050 gambling this year on a trip to Las Vegas. In addition, he paid $2,550 to his…

A: Introduction: An expenditure is the expense of running a firm in order to generate money. "It costs…

Q: Blaine is a practicing dentist. He operates his business from the basement of his house, with a…

A: The process is made simpler by Blaine's use of the simplified method, which takes into account a…

Q: A taxpayer, who is single, purchased a house on May 10, 1988, for $175,000. During the years he…

A: The objective of the question is to calculate the realized and recognized gain on the sale of a…

Q: In 2011, Avery bought a gold necklace for her own use at a cost of $8,000. In 2018 when the fair…

A: Formula: Taxable Gain = Selling price - Fair market value  Deduction of fair market value from…

Q: a. Clem is self-employed, and this year he incurred $525 in expenses for tools and supplies related…

A: "Deductible to AGI" is a term used to describe expenses that are eligible for subtraction from gross…

Q: Jackson, a self-employed taxpayer, uses his automobile 90% for business and during 2023 drove a…

A: Deduction means a decrease in the taxable income of the taxpayer. Deductions are provided against…

Q: Ryan is self-employed. This year Ryan used his personal auto for several long business trips. Ryan…

A: Please find the answer to the above question below:

Q: 1. In August of 2017, Bill bought a Chevrolet Tahoe (heavy SUV) for $72,400 to be used 80 percent in…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: R and J were married in 2007. They have a five year old child and a son born December 16, 2018.…

A: Compute taxable Income of the year 2018 as follows:

Q: Bonnie spent $5,000 on a new computer to use in her business.  She uses the computer 35% for…

A: In computation of income for calculation of incomes taxes, the amount of expenses which can be…

Q: Amelie is self-employed and uses her personal automobile in connection with her business. During…

A: Self-employed tax applicants can claim business expense deductions while filing their tax…

Q: is a self-employed investment adviser who uses his automobile for business. David drove his…

A: There are 2 methods for determining transportation deduction : Standard milage method  Actual cost…

Q: $5,250 of interest on a $105,000 home nterest on a mortgage on his vacation h Healy's AGI is…

A: Home mortgage interest is other than home equity loan in which interest paid is deductible.

Q: Ryan is self-employed. This year Ryan used his personal auto for several long business trips. Ryan…

A: Tax is the amount that is charged by the government to individuals and businesses on the income…

Q: purchase the home in 2010; home purchased for $400,000). Major Healy's AGI is $220,000. How much…

A: Taxable income is the  dimension of income which is used to calculate the  quantum of  duty that…

Q: Tamar owns a condominium near Cocoa Beach in Florida. In 2022, she incurs the following expenses in…

A: "Since you have asked a question with sub-parts more than three, as per guidelines, the first three…

Q: Lara uses the standard mileage method for determining auto expenses. During 2021, she used her car…

A: The mileage deduction is a tax deduction that allows individuals and businesses to deduct certain…

Q: Clark, a widower, maintains a household for himself and his two dependent preschool children. For…

A: 1. Child Tax CreditStep 1: Calculate Total Child Care ExpensesHousekeeper: $3,600Kiddie Play Camp:…

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.