Charles has AGI of $50,000 and has made the following payments related to (1) land he inherited from his deceased aunt and (2) a personal vacation taken last year. Calculate the amount of taxes Charles may include in his itemized deductions for the year under the following circumstances:
State inheritance tax on the land $1,200
County real estate tax on the land 1,500
School district tax on the land 690
City special assessment on the land (new curbs and gutters) 700
State tax on airline tickets (paid on vacation) 125
Local hotel tax (paid during vacation) 195
- a) Suppose that Charles holds the land for appreciation.
- b) Suppose that Charles holds the land for rent.
- c) Suppose that Charles holds the land for appreciation and that the vacation was actually a business trip.
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- Individual Income TaxesAccountingISBN:9780357109731Author:HoffmanPublisher:CENGAGE LEARNING - CONSIGNMENT