Janice, age 22, is a student who, in 2018, earns $10,000 working part-time at the college ice cream shop. She has no other income. Her medical expenses for the year total $3,000. During the year, she suffers a casualty loss of $3,500 when her apartment is damaged by flood waters (part of a federally declared disaster area). Janice contributes $2,500 to her church. On the advice of her parents, janice is trying to decide whether to contribu

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15 November, 20:23

Janice, age 22, is a student who, in 2018, earns $10,000 working part-time at the college ice cream shop. She has no other income. Her medical expenses for the year total $3,000. During the year, she suffers a casualty loss of $3,500 when her apartment is damaged by flood waters (part of a federally declared disaster area). Janice contributes $2,500 to her church. On the advice of her parents, janice is trying to decide whether to contribu

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Lawson · Answer 1

The answer is Total itemized deduction with IRA is 5600$ and without IRA 5400$. Increase in Deductions is 200$.

Explanations:

Charitable contribution = 1000$

Medical expenses = 2100$

Casualty losses = 2500$

Total item resized under IRA = 5600 $.

AND,

Itemized deduction with IRA = 5600$

Item deduction without IRA = 5400$

Increase in deductions = 200.