Question

There are five tax questions. They are as follows:

Using a Schedule A, use the following information to complete the form.

Margo 64, is filing as a single taxpayer. Her AGI during tax year 2018 was $32,000. This amount is entered on line 7 of 1040. She will itemize deductions when she cikes her Federal 1040. Margot sought relief from a medical condition by traveling to a clinic in another state. Her expenses were as follows:

$75 hotel near clinic one night
$450 round trip plane ticket
$60 rental car to drive to and from airport and clinic
$80 for non hospital meals while away from home

Margot is not eligible for employee sponsored health insurance. In addition to the travel expenses, Margot incurred the following non-trip related out of pocket medical expenses:
$2,000 out of pocket insurance premiums paid with after tax dollars
$2,300 for prescriptions
$350 for copays
$250 for new glasses
$300 for dental --rays

Complete the Schedule A using this information

Answer 1

In 2019, IRS allows taxpayers to deduct the total qualified unreimbursed medical expenses for the year that exceeds 10% of their adjusted gross income.

Schedule A (Form 1040)

Medical and Dental Expenses 1) Medical and dental expenses     l 1 l    $5865

2) Enter amount from From 1040, line 7 l 2 l $32000

   3) Multiply line 2 by 10% (0.010) l 3 l       $3200

4) Subtract line 3 from line 1. If line 3 is

more than line 1, enter l 4 l    $2665

Total Itemized deduction for Medical and Dental expenses is $2665

Working Note:

Medical expenses paid

$75 hotel near clinic one night
$450 round trip plane ticket
$60 rental car to drive to and from airport and clinic
$80 for non hospital meals while away from home

$2,000 out of pocket insurance premiums paid with after tax dollars
$2,300 for prescriptions
$350 for copays
$250 for new glasses
$300 for dental --rays

Total $5865