Mario and Kaitlin are married and file a joint tax return. They have adjusted gross income of $385,000 that includes $4,700 of investment income ($3,000 short-term capital gains and $1,700 of corporate bond interest). They paid the following expenses for the year:
Unreimbursed medical expenses..............................................$26,000
Home mortgage interest on acquisition debt of $1,200,000
(the purchase price was $1,800,000) ..........................................36,000
Interest on a home equity loan (principal amount of $125,000) ..........4,200
Investment interest expense.......................................................5,000
Other investment expenses........................................................1,800
State income taxes...................................................................4,900
Real property taxes................................................................13,000
Cash contribution to the State University athletic department
booster club (for preferred seating tickets to games).........................3,000
Cash contribution to the State University Business School
student scholarship fund...........................................................2,000
Unreimbursed employee business expenses...................................6,600
Tax return preparation fee...........................................................500
What are their itemized deductions after applying all limitations?