Question: Assume the same facts as Problem 7-40, but change the amount of Joyce's mortgage interest to $3,000. In problem 7-40 Joyce is a single, cash-method
In problem 7-40
Joyce is a single, cash-method taxpayer. On April 11, 2012, Joyce paid $120 state income taxes with her 2011 state income tax return. During 2012, Joyce had $1,600 in state income taxes withheld. On April 13, 2013, Joyce paid $200 with her 2012 state tax return. During 2013, she had $2,100 in state income taxes withheld from her paycheck. Upon filing her 2013 tax return on April 15, 2014, she received a refund of $450 for excess state income taxes withheld. Joyce had total AGI in 2013 and 2014 of $51,000 and $53,500, respectively. In 2013, Joyce also paid $5,500 in qualified residence interest.
a. What is her taxable income for 2013?
b. What is her AGI for 2014?
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a Joyces 2013 taxable income is 41000 computed as follows AGI 51000 Less i... View full answer
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