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on a excel work sheet : Calculate the taxable income for Kiera Kennedy for 2017

ID: 2578685 • Letter: O

Question

on a excel work sheet : Calculate the taxable income for Kiera Kennedy for 2017 based on the following information: Kiera is single. Kiera is 36 years old. Kiera files as Head of Household

Wages $105,000

Alimony received $40,000

Child support received $15,000

Real estate taxes paid $10,000

Kiera donated $10,000 to The ASPCA The American Society for Prevention of Cruelty to Animals.

Unemployment compensation $25,000

Kiera had flood uninsured flood damage to her home in 2017 that qualifies as a casualty loss.

Qualified medical expenses $20,000

Gambling Winnings $20,000

Qualified mortgage interest $20,000

Unreimbursed employee business expenses $30,000

Sole proprietorship income from dog grooming business $40,000

Safety deposit box fee $2,000

Qualified unreimbursed moving expenses $20,000

Tax Preparation fees$3,000

New York State bond interest $40,000

IRA contribution $1,000

Qualified Tuition $1,000.

Kiera received an inheritance of $50,000 from her great uncle Kenneth

Kiera received dividends of $4,000 from Exxon

Kiera had capital loss of $22,000.

Kiera has two children under the age 19 who live with her the entire year. Allie provides more than half of their support.

State taxes paid $25,000

Explanation / Answer

Kiera Kennedy Taxable income for the year 2017 Income Expense $ $ Wages 105000 Alimony received 40000 Child support received 15000 Real estate taxes paid 10000 Donations 10000 Unemployment compensation 25000 Medical expenses 20000 Gambling winnings 20000 Mortgage interest 20000 Business expenses 30000 Income from dog grooming 40000 Safety deposit box fee 2000 Moving expenses 20000 Tax preparation fees 3000 Bond interest 40000 IRA contribution 1000 Tuition 1000 Inheritance from uncle 50000 Dividend income 4000 Capital loss 22000 State taxes paid 25000 Totals 234000 269000 Income 35000 Adjustments: Removal expenses 12000 Medical expenses 20000 Wages 105000 Uk taxes (do not qualify) Mortgage interest 20000 State taxes 25000 Capital loss 22000 Real estate taxes paid 10000 Business expenses 30000 Safe deposit box fee 2000 Tax preparation fees 3000 Tuition expense 1000 Total expenses not deductible 250000 Income before expenses not deductible 285000 less Personal allowance 11500 Taxable income 273500