Dr Peter Mark is a medical doctor. He works for his own medical clinic in Sydney. Overall, Dr Peter has incurred the following costs. Advise him as to whether he can claim deductions on the following expenses.
Q: live’s daughter Polly suffers from a rare illness. During the current year, Olive drove Polly to see…
A: Medical expenses deduction is those deductions which help in take some amount of reimbursement of…
Q: Ray Ray made the following contributions this year. Charity Property Athens Academy School United…
A: Cash contribution is a contribution in cash or liquid money, hence its value will not change.
Q: n for them or other fee
A:
Q: What percentage of your income should you donate to charities? Which charities are most worthwhile?…
A: 8) Transferring revenues to other department to show better performance is misrepresentation and…
Q: Old Granddad can no longer safely navigate the stairs in his home. So he pays $60,000 to have an…
A: Generally, you can not deduct the cost of home improvement. While there is an exception that such…
Q: lauren borrows Mary's car. Lauren has 25/50/25 limits, and Mary has 50/100/50 limits. Lauren, while…
A: A vehicle insurance coverage will protect you and other family members on the policy, whether you…
Q: age 57, recently suffered a stroke. She was in intensive ital, she spent 25 days in a nursing home…
A: Insurance plan refer to the form of a contract in which the policyholder and the insurance company…
Q: Your clients’ religious faith moves them to send their kids to a religious private school, and they…
A: A charitable contribution refers to a donation or a gift which is made voluntarily to a qualified…
Q: 1. Reba is a single taxpayer. Lawrence, Reba's 84-year-old dependent grandfather, lived with Reba…
A: The following calculations are done as per the information provided. Note: Hello. Since your…
Q: 1. Mike Lindell donated $200,000 to Habitat for Humanity, a non profit. This donation was restricted…
A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…
Q: You bought a house in 2004 for $150,000. Sadly, you suffered an injury. Your doctor prescribes water…
A: Here I suffered an injury and doctor prescribed water aerobics as physical therapy. So the cost of…
Q: Calculate Calvin's charitable contribution deduction and carryover (if any) under the following…
A: The IBM stock is capital gain property but because the done is a private nonoperating foundation,…
Q: Medical Expense Deduction. In 2021, Charla, a single taxpayer with no dependents, was severely hurt…
A: Taxable income refers to the base upon which an income tax system imposes tax. In other words, the…
Q: During the year, Rajeev makes the following transfers: $1,000 to his mayor’s reelection campaign.…
A: Federal income taxes (FIT) are imposed in USA. Tax is calculated by applying tax rates which…
Q: Rebecca is a doctor with an AGI of $133,000 before consideration of income or loss from her dog…
A: Taxable income refers to the income on which tax is to be paid to the state, local and central…
Q: Allison works full time as a dental hygienist. She devotes her spare time to designing and creating…
A: A taxable event is a specific occurrence that triggers a tax liability or obligation for an…
Q: Harold Monette vacationed at Lake Tahoe last winter. Unfortunately, he broke his ankle while skiing…
A:
Q: 1.While preparing Massie Miller's 2020 Schedule A, you review the following list of possible…
A: The charitable contributions deduction allows taxpayers to deduct contributions of cash and property…
Q: Harold Monette vacationed at Lake Tahoe last winter. Unfortunately, he broke his ankle while skiing…
A:
Q: eeded repair. The work done on the car was performed by Ivan Fix a certified auto mechanic at Mr.…
A: Agency law refers to the law which is implied legally in the scenario when the principal, who is the…
Q: Ms. Chiu moved from Toronto to Vancouver to start a new job. She earned $40,000 from her Toronto job…
A: Moving expenses, to the Internal Revenue Service, are costs that are incurred by a taxpayer related…
Q: 00 for follow-up visits with his doctor. He also paid $550 for prescription medicine and $600 to a…
A: Itemized deductions refer to the form of deduction or expense which is subtracted from the adjusted…
Q: Calvin reviewed his canceled checks and receipts this year for charitable contributions, which…
A: Charitable Contribution Deduction: Particular Amount ($) Stock 66,000 Painting 4,320 Cash…
Q: Julio has $10 withheld from every paycheck to be used as a donation to a local charity. When his…
A: If an amount has been withheld by any person for the purpose of making the payment for specific…
Q: Rebecca is a doctor with an AGI of $139,000 before consideration of income or loss from her dog…
A: Taxable income refers to the income on which tax is to be paid to the state, local and central…
Q: Identify the entities that were mentioned in the scenario and explain what happened to the cash…
A: The effects of cash of any entity depends upon the perspective view from that entity for whose the…
Q: Linda installed a special pool for the hydrotherapeutic treatment of severe arthritis, as prescribed…
A: IRS Publication 502 states about medical and insurance deductions. It lists down what expenses can…
Q: What is Kristin's charitable contribution deduction for the current year?
A: Deductions:- In Income tax, governments of different countries allow different types of savings or…
Q: Michael has split - limit coverage equal to 50/100/25 on his vehicle. Yesterday, Michael rear ended…
A: The objective of the question is to determine how much Michael's insurance company will pay him from…
Q: Paul, suffers from emphysema and severe allergies and, upon the recommendation of his physician, has…
A: Deduct it by taking your AGI and multiplying it by 7.5%
Q: Charitable contribution deduction Carryover
A: Calculation of Charitable Contribution deduction Capital Gain = $66,000 Painting = $4,320 Ordinary…
Q: What is the Schedule A deduction for charitable contributions? On May 14 of the current year, Paul…
A: Non profit organizations refers to those organizations which are not for profit organizations which…
Q: Ursula is employed by USA Corporation. USA Corporation provides medical and health, disability, and…
A: Gross income refers to the total income earned by an individual on a pay check before taxes and…
Q: insurance policy. Read the requirements Requirement a. What amount can USA Corporation deduct for…
A: Insurance is very common and necessary part of life due to many kinds of risks involved in the life…
Q: Hal Gore won a $1.95 million prize for special contributions to environmental research. This prize…
A:
Q: Linda installed special pool for the hydrotherapeutic treatment of severe arthritis, as prescribed…
A: Calculate the amount of deduction allowed:
Q: 2-17. Finn Fixes is a new charity that repairs donated cars for use by unemployed job seekers. Finn…
A: As posted multiple sub parts we are answering only first three sub parts kindly repost the…
Q: Paul's car alid off the loy road, causing $2.000 in damage to his car. He was also treated for minor…
A: Answer:- Out of pocket cost meaning:- An out of pocket costs is a one time payment of cash that may…
Q: Teeth whitening Prescription drugs Acupuncture Installing a handicap chair lift for the pool*…
A: GIVEN Teeth whitening $500Prescription drugs $600Acupuncture $2,000Installing a handicap chair…
Q: The amount of Jorge's casualty loss before considering any annual limitations that may apply is…
A: If anyone is claiming a deduction based on property that was destroyed, they need to calculate the…
Q: If Oscar had an indemnity plan that pays 90 percent of his charges with a $1,000 deductible and a…
A: Indemnity Plan:An indemnity plan, also known as a fee-for-service (FFS) plan, is a type of health…
Q: Theresa Morgan of Boone, IA, age 55, recently suffered a stroke. Her total bill for this care was…
A: Deductible is the amount that is paid by the insured under a insurance policy to the insurance…
Q: The CPALE was able to push through after several postponements due to COVID-19. Inday, who really…
A: As per the TRAN Law of Philippians It does not distinguish between gifts made to relative or…
Q: Edna spent the last 80 days of 2021 in a nursing home. The cost of the services provided to her was…
A: The calculation of daily statutory cost has been made as follows: Daily statutory cost=Number of…
Dr Peter Mark is a medical doctor. He works for his own medical clinic in Sydney. Overall, Dr Peter has incurred the following costs. Advise him as to whether he can claim deductions on the following expenses.
Donation of $400 to the building fund of a local public library
Payment of $600 membership fees to the Medical Doctors association.
Payment of $2000 for repainting the front of his medical clinic with a new type of higher quality paint to make it more attractive to walk-in patients.
Payment of 1200 for a Registered Tax
Step by step
Solved in 2 steps
- Richere is a new client. She tells you that during the past year for fun she made quilts and sometimes sold them at local craft fairs. She said she earned about $1,750 doing this. Her tax preparer should: (a) Report this income on Schedule C and assist Richere to reconstruct her expenses for any items related to the production of the quilts, booth costs, and travel to the craft fairs. (b) Tell Richere that because she has no profit motive, the income is not taxable and the expenses are not deductible. (c) Explain the hobby loss rules to Richere and explain that the income should be reported on Schedule 1, line 8 but as this is a hobby, any expenses she has are not deductible. (d) Advise Richere that the income is reportable and that you will assist her to reconstruct her expenses which may be deducted on Schedule A, line 16.For each of the following organizations, determine its UBTI and any related UBIT. Connect, Inc., an exempt organization, provides food for the homeless. It oper- ates a thrift store that sells used clothing to the general public. The thrift shop is staffed solely by four salaried employees. All of the clothes it sells are received as contributions. The $100,000 profit generated for the year by the thrift shop is used in Connect’s mission of providing food to the homeless. Small, Inc., an exempt organization, recorded gross unrelated business income of $900 and unrelated business expenses of $400.Céline is physically disabled and in order to live independently and productively certain improvements were made to her residence. These improvements included expenditures for constructing entrance and exit ramps to the residence and widening the hallways and doorways to accommodate her wheelchair. Céline incurs and pays the following amounts during the current year: Doctor and hospital bills $18,000 Expenditures for the improvements referenced above 16,300 Hearing aids 5,500 Cost of certified appraisal 300 In addition, Céline pays $3,200 for prescribed medicines. The improvements have an estimated useful life of 25 years. The appraisal was to determine the value of Céline's residence with and without the improvements. The appraisal states that her residence was worth $125,000 before the improvements and $131,000 after the installation. Céline's AGI for the year was $101,000. What is the total of her qualifying medical expenses for 20197 32,604 X What is her medical expense deduction…
- Bernadette suffers from multiple sclerosis and has great difficulty climbing stairs. Upon the recommendation of her physician, she has an elevator chair-system installed in her personal residence. In connection with the system, Bernadette incurs and pays the following amounts during the current year: Doctor and hospital bills $6,700 Elevator chair-system 19,500 Installation charge for elevator chair-system 1,500 Cost of certified appraisal 500 In addition, Bernadette pays $1,350 for prescribed medicines. The system has an estimated useful life of 25 years. The appraisal was to determine the value of Bernadette's residence with and without the system. The appraisal states that her residence was worth $224,000 before the system was installed and $240,000 after the installation. Bernadette's AGI for the year was $83,000. What is the total of her qualifying medical expenses for 2018?$ What is her medical expense deduction for the current year?$Karen White helped organize a charity fund to help cover the medical expenses of a friend of hers who was seriously injured in a bicycle accident. The fund was named Vicky Hill Recovery Fund (VHRF). Karen contributed $1,000 of her own money to the fund. The $1,000 was paid to WKUX, a local radio station that designed and played an advertising campaign to educate the public as to the need for help. The campaign resulted in the collection of $20,000 cash. VHRF paid $12,000 to Mercy Hospital to cover Vicky's outstanding hospital cost. The remaining $8,000 was contributed to the National Cyclist Fund. Required Identify the entities that were mentioned in the scenario and explain what happened to the cash accounts of each entity that you identify. Entities Mentioned Vicky Hill Recovery Fu Karen White Effect On Cash for cash contributions, $21,000 for payment of advertising, $1,000 payment for hospital bills, $12,000 for donation to National Cyclist Fund, $8,000 by contribution, $1,000Below is your client’s actual list of her family’s unreimbursed medical ex-penses for the year. Of course she wants to deduct everything, so it’s up to you to tell her which items really are deductible as medical expenses. (Ignore the % of AGI floor.) My Family’s Medical Expenses: (A) Aspirin (B) Contact lenses (C) Medical marijuana (bought in Oklahoma – it’s legal!) (D) Veterinary bills (for “Whiskers” the cat, but she’s family, too!) (E) Acupuncture (it worked!) (F) Sunscreen (preventing skin cancer!) (G) Botox injections (Wonderful for my mental health – I look 10 years younger!) (H) Running shoes (heart health!) (I) Viagra (brought home from Mexico, much cheaper!) (J) Mileage for driving to/from doctors’ offices (K) Birth control pills (L) Parking at the hospital (visiting Aunt Mary) (M) Massage therapy (at the Elizabeth Arden “Red Door” Salon, wonderful!) (N) A book on meditation and self-hypnosis (I now feel so calm and serene!).…
- Your client, a carpenter, donated one of his handcrafted wooden desks to his church, a qualified public charity. The church sold the desk at an auction for $3,500, which is comparable to the standard price for the client's other woodwork. He calculated his costs as follows: Wood $1,000 Other materials $300 Rent for workshop $500 Time and services $1,700 This is his only charitable contribution. He itemizes deductions and has an adjusted gross income of $80,000. What is the maximum current year income tax deduction allowable for the client's charitable contribution? A)$3,500 B)$1,800 C)$500 D)$1,300Rebecca is a doctor with an AGI of $128,000 before consideration of income or loss from her dog breeding business. Her home is on 15 acres, 10 of which she uses to house the animals and provide them with ample space to play and exercise. Her records show the following related income and expenses for the current year: Income from fees and sales $ 2,650 Expenses: Dog food $ 4,150 Veterinary bills 3,650 Supplies 1,260 Publications and dues 380 Required: How must Rebecca treat the income and expenses of the operation if the dog breeding business is held to be a hobby? (Leave no cells blank. Enter "0" wherever required.) How would your answer differ if the operation were held to be a business? (Leave no cells blank. Enter "0" wherever required. Enter all losses with a minus sign.)Theresa Morgan of Boone, IA, age 55, recently suffered a stroke. Her total bill for this care was $125,500. After leaving the hospital, she spent 25 days in a nursing home that cost $170 per day. Theresa, who earns $4,500 per month, missed two months of work. Theresa had a health insurance plan through her employer. The policy had a $1,000 deductible and an 80/20 coinsurance clause with a $2,000 coinsurance cap. She had also accumulated 21 sick days (equivalent to one month) at work. Otherwise she had no long-term care or disability insurance. She was out of work for a total of 42 days. How much of Theresa's direct medical expenses was paid by her insurance policy? C How much income did Theresa lose?
- Christina Haley of Elko, Nevada, age 57, recently suffered a stroke. She was in intensive care for 3 days and was hospitalized for 10 more days. Her total bill for this care was $132,500. After being discharged from the hospital, she spent 25 days in a nursing home at a cost of $290 per day. Christina, who earns $4,500 per month, missed two months of work. Christina had a health insurance plan through her employer. The policy had a $1,000 deductible and an 80/20 coinsurance clause with a $2,000 coinsurance cap. She had also accumulated 21 sick days (equivalent to one month) at work. Otherwise she had no long-term care or disability income insurance. Round your answers to the nearest dollar. How much of Christina’s direct medical expenses was paid by her insurance policy? $ What did Christina have to pay for her nursing home care? $ How much income did Christina lose? $a local social worker earning 14 per hour working for the state government contributed 550 hours of time at no charge to the Sunrise homeless shelter, a voluntary health and welfare entity. if not for these donated services. an additional staff person would have been hired by the entity. how should the Sunrise Homeless Shelter record the contributed services?
