Determine whether Zoe should take the standard deduction or itemize. If she itemizes calculate her itemized deductions. Be sure to list her standard deduction and explain the rules for each item that could be considered an itemized deduction.

• Zoe is single and 47 years old.
• Zoe has two children. Yvonne, age 19, has a job and earned wages of $5,200. Joshua, age 26 is totally and permanently disabled and received Social Security benefits of $4,500. Both children lived with her all year.
• Zoe paid all the cost of keeping up the home and more than half the support for her children.
• Zoe received disability pension benefits of $45,000, but she has not reached the minimum retirement age of her employer's plan.
• In 2022 she paid $6,000 in medical expenses.
• She had an IRS Form 1098 indicating she paid $5,000 in mortgage interest. Her house was purchased for $100,000 in 2017. The 1098 Form also listed $12,000 in property tax.
• She donated $3,000 to her church, $100 worth of household goods to Goodwill and $100 to a GoFundMe to help a friend with medical bills and $100 GoFundMe to help Kshamenk.
• Zoe, Yvonne, and Joshua are U.S. citizens and have valid Social Security numbers. They all lived in the United States for the entire year.
• The sales tax rate for where she lives is 6% for the state and 2.25% for the municipality.

Answer rating: 100% (QA)

To determine whether Zoe should take the standard deduction or itemize we need to evaluate her poten... View the full answer