Judy and Eddie Kell live in Chickasha, Oklahoma. They are married and have two children. Eddie works as a sales manager for a national pharmaceutical company and Judy is a nurse. During the year they receive $1,600 in reimbursements from their health insurance plan. They contributed Apple stock, worth $2,000, to Oklahoma State University on December 30, 2020 that they acquired on January 18, 2012 for $1,700. In addition, they contributed Visa stock to the American Cancer Society on November 1, 2020 that had a FMV of $1,100. It was acquired on February 10, 2020 for $800. The Kell’s gambling winnings for the year were $1,000 and are included in their adjusted gross income of $88,000. In addition, they provide you with the following data for the amounts they paid during the year:

Automobile insurance                                     $ 1,450

Homeowners insurance                                         625

Life insurance                                                           980

Country club dues                                                1,800

State taxes withheld                                             5,475

Property taxes (ad valorem)                            6,320

Mortgage interest                                                 6,850                                  

Charitable contributions (cash)                          8,435

Charitable contribution (clothes at FMV)             100

Gambling losses                                                      650

                 Loan origination fees on their new home             250

                Points paid to acquire mortgage on home        5,000

                 The Kell’s had the following health costs this year:

Health insurance premiums                               1,420

Health club dues                                                      750

Hospital                                                                  5,500

Doctor                                                                     1,500

Chiropractor                                                              650

Dentists                                                                   1,750

Prescription drugs                                                   275

Over-the-counter drugs                                          460

Complete Schedule A for the Kells. Eddie’s Social Security number is 063-79-4185 and Judy’s Social Security number is 530-22-6584.

Answer rating: 100% (QA)

SCHEDULE A ITEMIZED DEDUCTIONS To Complete Schedule A for the Kells we need to calculate their itemized deductions based on the information provided L... View the full answer