Type of Documentation
James & Pamela Brock William Brock
Employer paid medical Insurance Premiums $10,000 $1,200
Medical insurance premiums paid by taxpayer $4,000 $8,000
Medical expenses related to eye surgery not covered by insurance17,500 N/A
Reimbursements from medical insurance carrier $5,200 N/A
Prescription drug costs $1,800 $2,200
State income taxes withheld by employer $6,750 $450
State income tax paid when filing tax return $2,300 N/A
Real estate taxes on residence $12,000 N/A
Real estate taxes on Westchester Woods property $5,000 N/A
Property tax on automobile $950 $375
Property tax on Westchester Wood’s delivery truck $375 N/A
Sewer use charge $295 N/A
Home mortgage interest $14,400 N/A
Home equity interest (the loan amount is $75,000 and the difference between the FMV of the home and acquisition indebtedness is $55,000) $3,000 N/A
Cash gifts (properly supported) $1,800 $1,500
Contribution Artwork, purchased for $8,000 and held
for five years, donated to a qualified charity
(the charity will display the artwork).
The FMV of the artwork is $27,500 N/A
Contribution N/A Donated land to a qualified charity. The land was held for 22 years. The basis of the land is $4,200 and its FMV is $67,800
Contribution carryover from a prior year $0 $14,000
Unreimbursed travel expenses (job related) $700 $180
Safe deposit box $55 N/A
Tax preparation (60% allocated to Westchester Wood) $1000 $125
Required:
Calculate the itemized deductions and
Prepare Form 1040 Schedule A for:
James and Pamela Brock and
William Brock.