1: What is the AGI for Evan?2:
2.What is the AGI for Noah?
3: Does Evan take the Standard or Itemized Deduction? What is the amount?
4: What is Evanas tax liability?
5: What is Noahaas tax liability?
6: What is Evanas filing status?
Evan Dawson Evan James Dawson divorced in 2004 and has a son, Noah, who lived with him all year. · Evan provided all of the cost of keeping up the home. · Noah provided less than 50% of his own support.
· Evan did not itemize deductions last year. In 2012, Noah was a third-year student at Brown College. Noah lived at home with Evan while attending classes, and is pursuing a degree in Computer Science. Evan spent $634 on course-related books and paid tuition as reported on Form 1098-T. Noahs total tuition was $11,800, but he received a $9,000 scholarship and subsidized loans in the amount of $2,800. Noah does not have a felony drug conviction. Evan wants to know if he has enough deductions to itemize (he did not itemized in the previous year). Assume that Evan will deduct state income tax instead of general sales tax. He gives you receipts, statements, and cancelled checks for the following items he would like to deduct:
· Unreimbursed doctor bills for Evan for $300
· Unreimbursed doctor bills for Noah for $500 · Unreimbursed prescription drugs for $1,400 · Unreimbursed nonprescription herbal supplements for $300
· Cancelled check for a donation to the United Way for $100 · Evan tells you that he also gave $20 to a homeless man
· A statement from his church showing donations of $780
· A receipt from a Goodwill drop-off center for the donation of a table, refrigerator, and stove; they were in good, used condition and had a thrift shop value of $130 · Form 1098 showing qualified mortgage insurance premiums, interest, and real estate taxes paid.
· Evan bought a $2 lottery ticket every week, for a total of $104, but he had no winnings.
· Evan never received any distributions from his 401(k) or any other retirement plan.