Question

E . 8 Read the following letter and help (which consists only of salary) for purposes 9 December 31, 2012 Toate friendly student tax ore per dock trom my ssen bireboy 52 carer To the friendly student tax preparer: e party, and I hatever think you Hi, It's Shady Slim again. I just got back from my 55th birthday party, and I'm told that you need some more information from me in order to complete my tax return. I'm an open book 'tell you whatever I think you need to know. en you whatever entry whe, Alice de ! Let me tell you a few more things about my life. As you may recall, I am divorced from my wife, Alice. I know that it's unusual, but I have custody of my son, Shady, Jr. The judge owed me a few favors and really love the kid. He lives with me full-time and my wife gets him every other weekend. I pay the vast majority of my son's expenses. I think Alice should have to pay some child support, but she doesn't have to pay a dime. The judge didn't owe me that much, I guess. reves me Thad to move this year after getting my job at Roca Cola. We moved on February 3 of this year, and I worked my job at Roca Cola for the rest of the year. I still live in the same state, but I moved 500 miles away from my old house. Whiredo moving company to move our stuff at a cost of $2,300, and I drove Junior in my car. Junior and I got a hotel room along the way that cost us $65 (I love Super 89. Can you believe I'm still paying off my student loans, even after 15 years?! student loans this year. . 05 50 O 23 E OG E Remember when I told you about that guy that hit me with his car? I had reimbursed by the lawsuit or by my insurance. I incurred a total of $20,000 in medical expenses, and I was only reimbursed for $11,000. Good thing I can write off medical expenses, right? contributed a lot of money to charity this year (and have receipt documentation for all contributions). I'm such a nice guy gave $1,000 in cash to the March of Dimes. I contributed some of my old furniture to the church. It was some good stuff contributed a red velvet couch and my old recliner. The furniture is considered vintage and is worth $5,000 today (the appraiser surprised mel), even though I only paid S1000 for it back in the day. When I contributed the furniture, the pastor said he didn't like the fabric and was going to sell the furniture to pay for some more pews in the church. Oh well, some people just have no taste, right? Roca Cola had a charity drive for the United Way this year and I contributed $90. Turns out, I don't even miss it, because Roca Cola takes it right off my paycheck every month $15 a month starting in July. My pay stub verifies that I contributed the $90 to the United Way. Oh, one other bit of charitymme this year An old buddy of mine was down on his luck. He lost his job and his house. I gave him $500 to help him out. I paid a lot of money in interest this year. I paid a total of $950 in personal credit card interest. I also paid $18,000 in Interest on my $500,000 home mortgage that helped me buy my dream home. I also paid $2,000 in real estate taxes for my new house. A few other things I want to tell you about this year Someone broke into my house and stole my kids brand new bicycle and my set of golf clubs. The total loss from theft was $900. I paid $125 in union dues this year I had to pay $1200 for suits for my job. Roca Cola requires its managers to wear suits every day on the job. I spent a total of $1,300 to pay to my job this year 2 133 O I've wanted to be a firefighter. I spent $1400 intuition to go to the local firefighter's school, told me that I can deduct the tuition as an itemized deduction, so the money would be coming 5 2006 D G 2 calculate plete be all the information you 1040 (through taxable income. @ - A You're

Answer 1

Taxable Income
Gross income		172900
AGI		172900
Itemized deductions:
Medical expenses	0
Mortgage interest	18000
Real Estate taxes	2000
Charitable contributions (1000+1000+90)	2090	22090
Taxable income		150810