Question

Lourdes is required by Xavier University to visit several high schools in the Cincinnati area to evaluate Xavier University students who are doing their practice teaching. However, she is not reimbursed for the expenses she incurs in doing this. During the spring semester (January through April 2016), she drove her personal automobile 6,800 miles in fulfilling this obligation. Lourdes drove an additional 6,700 personal miles during 2016. She has been using the car since June 30, 2015. Lourdes uses the standard mileage method to calculate her car expenses. Armando and Lourdes have given you a file containing the following receipts for expenditures during the year: Prescription medicine and drugs (net of insurance S 376 Doctor and hospital bills (net of insurance reimbursement) Penalty for underpayment of last year's state income 2,468 Real estate taxes on personal residence Interest on home mortgage (paid to Home State Savings & Loan) Interest on credit cards (consumer 8,250 Cash contribution to St. Matthew's church Payroll deductions for Lourdes's contributions to the United Way Professional dues (Lourdes) 150 325 Professional subscriptions (Lourdes) Fee for preparation of 2015 tax return paid April 12, 2016 The Gonzaleses filed their 2015 federal, state, and local returns on April 12, 2016. They paid the following additional 2015 taxes with their returns: federal income taxes of S630, state income taxes of $250, and city income taxes of $75 The Gonzaleses made timely estimated federal income tax payments of S1,500 each quarter during 2016. They also made estimated state income tax payments of S300 each quarter and estimated city income tax payments of S160 each quarter. The Gonzaleses made all fourth-quarter payments on December 3 2016. They would like to receive a refund for any overpayments. Armando and Lourdes have qualifying insurance for purposes of the Affordable Care Act (ACA).

Answer 1

As there is no total income given in the question i am describing the expenses which are eligible for deduction. Therefore you can compute the refund amount.

Expenses eligible for deduction:-

Particulars Amount($)

1. Prescription medicine and drugs 376

2. Doctor and hospital bills 2468

3. Real estate taxes on personal residence 4762

4. Interest on home mortgage paid 8250

5. Cash contribution to St.Matthew's church 3080

6. Professional dues 325

7. Fee for preparation of 2015 tax return paid 500

8. Estimated federal income tax payments 6000(1500*4)

9. Estimated state income tax payments 1200(300*4)

10. Estimated city income tax payments 640(160*4)