1. Bess Norman is single and has the following sources of income in 2019:

Social security benefits                 $13,550

Taxable Interest income               $6,930

Dividend income                           $7,480

Tax-exempt interest income         $11,204

Ms. Norman is 72 years of age and has 12,550 in itemized deductions.  What is her taxable income for 2019?

2. Erica is a single parent with three children who lives in Pennsylvania.  Randall is her 19 year old son is a full-time student at Heartland College and earned $4,900 in 2019 at his part-time job.  Tiffany is 9 and Donna is 11.  All three live at home with Erica who provides more than half of their support.
   1. Erica had wages in 2019 (box a of W-2) of $65,500 and $2,600 was withheld from her check for federal taxes.  She received 1099-Int from First Federal Savings Bank for $35, Olympic Savings for $75 and State of Pennsylvania general bonds $300.  
   2. Erica paid $4,400 toward tuition at Heartland College for Randall during 2019 (which does not qualify for any education credits).  Erica will contribute the 2,200 to her HSA for 2019.
   3. Some payments that Erica thinks might be deductible are:  $3,140 withheld from check to pay state income taxes, $695 sales tax paid on purchase of car, copayments on various visits to doctors and dentists $920, $2,750 for health insurance withheld from her check that reduced box A, $7,850 for interest on first mortgage to acquire the home and $1,634 interest paid on 2^nd mortgage to fix up the house, real estate taxes $4,420, private mortgage insurance $420, losing lottery tickets $520(no winners),  $300 to get her taxes for last year prepared, gifts to her church $2520, two loads of clothes to goodwill $150, mileage to raise money for the AHA Heart Walk 200 miles, gave $200 to her sister to buy food.

How much would Erica receive as a refund from her 2019 taxes?

Answer rating: 100% (QA)

Taxable income adjusted gross income deductions Taxable interest income Dividend income itemized deductions 14410 12550 1860 Bess Norman taxable incom... View the full answer