Question: Simpson is a single individual who is employed full-time by Duff Corporation. This year Simpson reports AGI of $50,000 and has incurred the following medical

Simpson is a single individual who is employed full-time by Duff Corporation. This year Simpson reports AGI of $50,000 and has incurred the following medical expenses:
Dentist charges .................................................................. $ 900
Physician's charges .............................................................. 1,800
Optical charges .................................................................. 500
Cost of eyeglasses ............................................................... 300
Hospital charges ................................................................. 2,100
Prescription drugs ............................................................... 250
Over-the-counter drugs ........................................................ 450
Medical insurance premiums (not through an exchange) .................. 775
a. Calculate the amount of medical expenses that will be included with Simpson's itemized deductions after any applicable limitations.
b. Suppose that Simpson was reimbursed for $250 of the physician's charges and $1,200 for the hospital costs. Calculate the amount of medical expenses that will be included with Simpson's itemized deductions after any applicable limitations.

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a All expenses are qualified medical expenses except for the overthecounter drugs Hence Simp... View full answer

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