Question

Benton is itemizing deductions on his federal income tax return and had $5600 in medical expenses last year. If his AGI was $55000 and if medical expenses are deductible to the extent that they exceed 7.5% of a taxpayer’s AGI, how much can Benton deduct for medical expenses?

Answer 1

The answer is $1475.

Explanation:

The AGI is = $55,000

Medical expenses amount = $5600

If medical expenses are deductible to the extent that they exceed 7.5% or 0.075 of a taxpayer’s AGI, means $55000\times0.075=4125$

Now the deductible amount is $5600-4125=1475$

Hence, Benton can deduct $1475 for medical expenses.

Answer 2

$1475 apex answer ...............................................