Question: Margo has $ 2 , 2 0 0 withheld from her wages for state income taxes during 2 0 2 1 . In March of

Margo has $2,200 withheld from her wages for state income taxes during 2021. In March of 2021, she paid $300 in additional taxes for her 2020 state tax return. Her state income tax liability for 2021 is $2,700 and she pays the additional $500 when she files her 2021 state tax return in April of 2022. What amount should Margo deduct as an itemized deduction for state income taxes on her 2021 federal income tax return, assuming she deducts state and local income taxes?
a. $2,200
b. $2,600
c. $2,500
d. $2,700
e. None of these choices are correct.

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