Denzer Problem 14-59 (LO 14-5) (Algo)Tamar owns a condominium near Cocoa Beach in Florida. In 2023, she incurs the following expenses in connection with her condo:$ 1,3307005,7001,330750Insurance.Advertising expenseMortgage interestProperty taxesRepairs & maintenance.UtilitiesDepreciation1,03012,050During the year, Tamar rented out the condo for 83 days, receiving $15,500 of gross income. She personally used the condo for 53days during her vacation. Tamar's itemized deduction for nonrental taxes is less than $10,000 by more than the property taxesallocated to the rental use of the property.Assume Tamar uses the Tax Court method of allocating expenses to rental use of the property. Assume 365 days in the current year.Note: Do not round apportionment ratio. Round all other dollar values to the nearest whole dollar amount.Required:a. What is the total amount of for AGI (rental) deductions Tamar may deduct in the current year related to the condo (assuming sheitemizes deductions before considering deductions associated with the condo)?b. What is the total amount of itemized deductions Tamal may deduct in the current year related to the condo?c. If Tamar's basis in the condo at the beginning of the year was $167,000, what is her basis in the condo at the end of the year?d. Assume that gross rental revenue was $3,100 (rather than $15,500). What amount of for AGI deductions may Tamar deduct in thecurrent year related to the condo?a. For AGI (rental) deductionsb. ltemized deductionsc. Basis in the condo at the end of the year.d. For AGI deductions

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Answered: a. For AGI (rental) deductions b.…

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Accounting

a. For AGI (rental) deductions b. llemized deductions c. Basis in the condo at the end of the year

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter6: Deductions And Losses: In General

Section: Chapter Questions

Problem 46P

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Required information [The following information applies to the questions displayed below.] Alexa owns a condominium near Cocoa Beach in Florida. In 2023, she incurs the following expenses in connection with her condo: Insurance Mortgage interest Property taxes $ 3,400 7,500 4,600 830 Repairs & maintenance Utilities Depreciation 4,500 22,200 During the year, Alexa rented out the condo for 115 days. Alexa's AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income. Assume that in addition to renting the condo for 115 days, Alexa uses the condo for 8 days of personal use. Also assume that Alexa receives $42,000 of gross rental receipts, her itemized deductions exceed the standard deduction before considering expenses associated with the condo, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to rental use of the home. Answer the following…
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Problem 14-59 (LO 14-5) (Algo) Tamar owns a condominium near Cocoa Beach in Florida. In 2023, she incurs the following expenses in connection with her condo: Insurance. Advertising expense Mortgage interest Property taxes $ 1,330 700 5,700 1,330 750 Repairs & maintenance. Utilities Depreciation 1,030 12,050 During the year, Tamar rented out the condo for 83 days, receiving $15,500 of gross income. She personally used the condo for 53 days during her vacation. Tamar's itemized deduction for nonrental taxes is less than $10,000 by more than the property taxes allocated to the rental use of the property. Assume Tamar uses the Tax Court method of allocating expenses to rental use of the property. Assume 365 days in the current year. Note: Do not round apportionment ratio. Round all other dollar values to the nearest whole dollar amount. Required: a. What is the total amount of for AGI (rental) deductions Tamar may deduct in the current year related to the condo (assuming she itemizes…
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