CH2_6_Above-the-Line Deductions Examples

Question 1

1. In 2017, a self-employed taxpayer had gross income of $57,000. The taxpayer paid self- employment tax of $8,000(50퍼만 감면), health insurance of $6,000, (전액 인정 contribution) and $5,000 of alimony. The taxpayer also contributed $2,000 to a traditional IRA. What is the taxpayer’s adjusted gross income?

A. $55,000 B. $50,000 C. $46,000 D. $40,000

Answer 1

=57,000-4000(8000*0.5)-6000-5000-2000
=40,000

D. $40,000

Question 2

2. Grey, a calendar-year taxpayer, was employed and resided in New York. On February 2, 2017, Grey was permanently transferred to Florida by his employer. Grey worked full-time for the entire year. In 2017, Grey incurred and paid the following unreimbursed expenses in relocating:

 Lodging and travel expenses while moving $1,000
 Pre-move house-hunting costs 1,200
 Costs of moving household furnishings and personal effects(살림 옮김) 1,800
What amount was deductible as moving expense on Grey’s 2017 tax return?

A. $4,000
B. $2,800
C. $1,800 D. $1,000

Answer 2

1000+1800

B. $2,800

unreimbursed expenses 중요

Question 3

3. A calendar-year individual is eligible to contribute to a deductible IRA. The taxpayer obtained a 4-month extension to file until August 15 but did not file the return until November 1. What is the latest date that an IRA contribution can be made in order to qualify as a deduction on the prior year’s return?

A. October 15.
B. April 15.
C. August 15.
D. November 1.

Answer 3

B. April 15.