This year Bill received a $900 refund of state income taxes that he paid last year. Last year Bill claimed itemized deductions of $15,000 including $2,800 of state income taxes. How much of the refund, if any, must Bill include in gross income if the standard deduction last year was $12,400? A. $0 B. $900 C. $1,000 D. $2,800 E. $6,300
This year Bill received a $900 refund of state income taxes that he paid last year. Last year Bill claimed itemized deductions of $15,000 including $2,800 of state income taxes. How much of the refund, if any, must Bill include in gross income if the standard deduction last year was $12,400? A. $0 B. $900 C. $1,000 D. $2,800 E. $6,300
Chapter10: Deduct Ions And Losses: Certain Itemized Deduct Ions
Section: Chapter Questions
Problem 4BCRQ
Related questions
Question
This year Bill received a $900 refund of state income taxes that he paid last year. Last year Bill claimed itemized deductions of $15,000 including $2,800 of state income taxes. How much of the refund, if any, must Bill include in gross income if the standard deduction last year was $12,400?
A. $0
B. $900
C. $1,000
D. $2,800
E. $6,300
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT