Individual Income Taxes
43rd Edition
ISBN: 9780357109731
Author: Hoffman
Publisher: CENGAGE LEARNING - CONSIGNMENT
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Question
Chapter 9, Problem 39P
a.
To determine
Compute Ms. M’s office in home deduction under regular method.
b.
To determine
Compute Ms. M’s office in home deduction under simplified method.
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Melanie is employed full-time as an accountant for a national hardware chain. She recently started a private consulting practice, which
provides tax advice and financial planning to the general public. For this purpose, she maintains an office in her home. Expenses relating to
her home for 2019 are as follows:
Real property taxes
Interest on home mortgage
Operating expenses of home
$3,600
3,800
900
Melanie's residence cost $350,000 (excluding land) and has living space of 2,000 square feet, of which 20% (400 square feet) is devoted to
business. The office was placed in service in February 2018, and under the Regular Method, Melanie had an unused office in the home
deduction of $800 for 2018. Assume there is sufficient net income from her consulting practice.
Click here to access the depreciation table. Round deprecation to the nearest dollar.
a. What amount can Melanie claim this year for her office in the home deduction under the Regular Method?
$
3,455 X
b. What is Melanie's office…
Melanie is employed full-time as an accountant for a national hardware chain. She also has recently started a private consulting practice, which provides tax advice and financial planning to the general public. For this purpose, she maintains an office in her home. Expenses relating to her home for 2020 are as follows:
Real property taxes
$4,750
Interest on home mortgage
5,700
Operating expenses of home
1,188
Melanie's residence cost $415,000 (excluding land) and has living space of 2,000 square feet, of which 29% (580 square feet) is devoted to business. The office was placed in service in February 2019, and under the Regular Method, Melanie had an unused office in the home deduction of $1,600 for 2019. Assume there is sufficient net income from her consulting practice.
What amount can Melanie claim this year for her office in the home deduction under the Regular Method?
Melanie is employed full-time as an accountant for a national hardware chain. She also has
recently started a private consulting practice, which provides tax advice and financial planning
to the general public. For this purpose, she maintains an office in her home. Expenses relating
to her home for 2023 are as follows:
Real property taxes
Interest on home mortgage
Operating expenses of home
$5,250
6,300
1,313
Melanie's residence cost $382,000 (excluding land) and has living space of 2,000 square feet,
of which 22% (440 square feet) is devoted to business. The office was placed in service in
February 2022, and under the Regular Method, Melanie had an unused office in the home
deduction of $1,025 for 2022. Assume there is sufficient net income from her consulting
practice.
Click here to access the depreciation table. to use for this problem. Round your final
answer to nearest dollar.
a. What amount can Melanie claim this year for her office in the home deduction under the
Regular Method?…
Chapter 9 Solutions
Individual Income Taxes
Ch. 9 - Prob. 1DQCh. 9 - Mason performs services for Isabella. In...Ch. 9 - Milton is a resident of Mobile (Alabama) and is...Ch. 9 - In 2017, Emma purchased an automobile, which she...Ch. 9 - Prob. 5DQCh. 9 - Prob. 6DQCh. 9 - Prob. 7DQCh. 9 - Prob. 8DQCh. 9 - Prob. 9DQCh. 9 - Prob. 10DQ
Ch. 9 - Prob. 11DQCh. 9 - Prob. 12DQCh. 9 - Prob. 13DQCh. 9 - Prob. 14DQCh. 9 - Paul wholly owns and operates an office supplies...Ch. 9 - Prob. 16DQCh. 9 - Prob. 17DQCh. 9 - Lara uses the standard mileage method for...Ch. 9 - Fred, a self-employed taxpayer, travels from...Ch. 9 - Prob. 20CECh. 9 - Prob. 21CECh. 9 - In 2019, Robert entertains four key clients and...Ch. 9 - In 2019, the CEO of Crimson, Inc., entertains...Ch. 9 - Prob. 24CECh. 9 - Cindy maintains an office in her home that...Ch. 9 - Prob. 26CECh. 9 - Prob. 27CECh. 9 - Prob. 28PCh. 9 - Prob. 29PCh. 9 - Prob. 30PCh. 9 - In June of this year, Dr. and Mrs. Bret Spencer...Ch. 9 - Prob. 32PCh. 9 - On Thursday, Justin flies from Baltimore (where...Ch. 9 - Monica, a self-employed taxpayer, travels from her...Ch. 9 - Prob. 35PCh. 9 - Prob. 36PCh. 9 - Prob. 37PCh. 9 - Prob. 38PCh. 9 - Prob. 39PCh. 9 - Prob. 40PCh. 9 - Shelly has 200,000 of QBI from her local jewelry...Ch. 9 - Prob. 42PCh. 9 - Prob. 43PCh. 9 - Prob. 44PCh. 9 - Prob. 45PCh. 9 - Prob. 46PCh. 9 - Ben and Molly are married and will file jointly....Ch. 9 - Prob. 48PCh. 9 - Prob. 49PCh. 9 - Prob. 50PCh. 9 - David R. and Ella M. Cole (ages 39 and 38,...Ch. 9 - Addison Parker (Social Security number...Ch. 9 - In the current year, Barlow moved from Chicago to...Ch. 9 - Prob. 2CPACh. 9 - Prob. 3CPACh. 9 - Prob. 4CPACh. 9 - Prob. 5CPACh. 9 - Prob. 6CPACh. 9 - Calculate the taxpayers 2019 qualifying business...Ch. 9 - Prob. 8CPA
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