Alexa owns a condominium near Cocoa Beach in Florida. In 2022, she incurs the following expenses in connection with her condo: $ 3,500 10,800 3,700 1,150 2,900 22,000 Insurance Mortgage interest Property taxes Repairs & maintenance Utilities Depreciation During the year, Alexa rented out the condo for 132 days. Alexa's AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income. Assume that in addition to renting the condo for 132 days, Alexa uses the condo for 8 days of personal use. Also assume that Alexa receives $44,500 of gross rental receipts, her itemized deductions exceed the standard deduction before considering expenses associated with the condo, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to rental use of the home. Answer the following questions: Required: a. What is the total amount of for AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocation expenses between i
Alexa owns a condominium near Cocoa Beach in Florida. In 2022, she incurs the following expenses in connection with her condo: $ 3,500 10,800 3,700 1,150 2,900 22,000 Insurance Mortgage interest Property taxes Repairs & maintenance Utilities Depreciation During the year, Alexa rented out the condo for 132 days. Alexa's AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income. Assume that in addition to renting the condo for 132 days, Alexa uses the condo for 8 days of personal use. Also assume that Alexa receives $44,500 of gross rental receipts, her itemized deductions exceed the standard deduction before considering expenses associated with the condo, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to rental use of the home. Answer the following questions: Required: a. What is the total amount of for AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocation expenses between i
Chapter6: Deductions And Losses: In General
Section: Chapter Questions
Problem 55P
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I only need Required B. 2167 is not the answer. 41533 is not that answer as can be seen. please help me figure out REQUIRED B.
please do not provide solution in image format thank you!
Transcribed Image Text:Alexa owns a condominium near Cocoa Beach in Florida. In 2022, she incurs the following expenses in connection with her condo:
$ 3,500
10,800
3,700
1,150
2,900
22,000
Insurance
Mortgage interest
Property taxes
Repairs & maintenance
Utilities
Depreciation
During the year, Alexa rented out the condo for 132 days. Alexa's AGI from all sources other than the rental property is $200,000.
Unless otherwise specified, Alexa has no sources of passive income.
Assume that in addition to renting the condo for 132 days, Alexa uses the condo for 8 days of personal use. Also assume that
Alexa receives $44,500 of gross rental receipts, her itemized deductions exceed the standard deduction before considering
expenses associated with the condo, and her itemized deduction for non-home business taxes is less than $10,000 by more than
the real property taxes allocated to rental use of the home. Answer the following questions:
Required:
a. What is the total amount of for AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she
uses the IRS method of allocating expenses between rental and personal days.
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.
b. What is the total amount of from AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she
uses the IRS method of allocating expenses between rental and personal days.
Note: Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount.
c. Would Alexa be better or worse off after taxes in the current year if she uses the Tax Court method of allocating expenses?
Complete this question by entering your answers in the tabs below.
Answer is complete but not entirely correct.
Required A
Required B Required C
What is the total amount of from AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she
uses the IRS method of allocating expenses between rental and personal days.
Note: Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount.
From AGI deductions
41,533
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