Jesse Brimhall is single. In 2022, his itemized deductions were $9,000 before considering any real property taxes he paid during the year. Jesse's adjusted gross income was $70,000 (also before considering any property tax deductions). In 2022, he paid real property taxes of $3,000 on property 1 and $1,200 of real property taxes on property 2. He did not pay any other deductible taxes during the year. Required: a. If property 1 is Jesse's primary residence and property 2 is his vacation home (he does not rent it out at all), what is his taxable income after taking property taxes into account? b. If property 1 is Jesse's business building (he owns the property) and property 2 is his primary residence, what is his taxable income after taking property taxes into account (ignore the deduction for qualified business income)? c. If property 1 is Jesse&'s primary residence and property 2 is a parcel of land he holds for investment, what is his taxable income after taking property taxes into account?
Jesse Brimhall is single. In 2022, his itemized deductions were $9,000 before considering any real
property taxes he paid during the year. Jesse's adjusted gross income was $70,000 (also before
considering any property tax deductions). In 2022, he paid real property taxes of $3,000 on property 1
and $1,200 of real property taxes on property 2. He did not pay any other deductible taxes during the
year.
Required:
a. If property 1 is Jesse's primary residence and property 2 is his vacation home (he does not rent it
out at all), what is his taxable income after taking property taxes into account?
b. If property 1 is Jesse's business building (he owns the property) and property 2 is his primary
residence, what is his taxable income after taking property taxes into account (ignore the
deduction for qualified business income)?
c. If property 1 is Jesse&'s primary residence and property 2 is a parcel of land he holds for
investment, what is his taxable income after taking property taxes into account?
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