Question

Required information [The following information applies to the questions displayed below.] This year Jack intends to file a married-joint return. Jack received $172,500 of salary, and paid $5,000 of interest on loans used to pay qualified tuition costs for his dependent daughter, Deb. This year Jack has also paid moving expenses of $4,300 and $28,300 of alimony to his ex-wife, Diane, who divorced him in 2012. (Round your intermediate calculations and final answer to the nearest whole dollar amount.) a. What is Jack's adjusted gross income? Jack's AGI

Answer 1

Compute J's AGI as follows: Particulars Salary Amount ($) $172,500 $8,800 SO Income from partnership Less: Moving expense (Eliminated from 2018) Less: Alimony paid Modified adjusted income Less: Student loan interest deduction J'S AGI -$28,300 $153,000 -$1,417 $151,583 Working note: Interest on student loan deduction (2019): Ir($2,500)-($2,500/$30,000)*($153,000-$140,000) $1,417 Therefore, J's AGI is $151,583|