What is pierres state income tax deduction

Assignment Help Accounting Basics

Reference no: EM131957805

Problem

Pierre, a cash basis, unmarried taxpayer, had $1,400 of state income tax withheld during 2016. Also in 2016, Pierre paid $455 that was due when he filed his 2015 state income tax return and made estimated payments of $975 towards his 2016 state income tax liability. When Pierre files his 2016 Federal income tax return in April 2017, he elects to itemize deductions, which amount to $10,650, including the state income tax payments and withholdings, all of which reduce his taxable income. As a result of overpaying his 2016 state income tax, Pierre receives a refund of $630 in 2017. The standard deduction for single taxpayers for 2015 was $6,300.

a. What is Pierre's 2016 state income tax deduction?

b. How much of the $630 will Pierre include in his 2017 gross income?

Reference no: EM131957805

Questions Cloud

What is the firms degree of financial leverage : Irresistible Chips is reviewing its financial condition. The firm generated an operating profit of $5,587,370. The firm's interest expense was $2,425,220.

Compute ivory corporations current year deduction : Ivory Corporation, a calendar year, accrual method C corporation, has two cash method, calendar year shareholders who are unrelated to each other.

List the tools or exams that are used to diagnose : List the tools or exams that are used to diagnose and list the treatment plan.

Calculate the market cap of the company : What are two basic credit metrics you can calculate with these numbers(hint coverage ratio and one other). Please calculate these two ratios.

What is pierres state income tax deduction : What is Pierre's 2016 state income tax deduction? How much of the $630 will Pierre include in his 2017 gross income?

How antibiotic resistance to rifampin : Think about how antibiotic resistance to Rifampin (an antibiotic used to treat TB) evolves. Then, put the following steps in order

Calculate the npv for both projects : To sustain a high growth? rate, the HFGC CEO argues that the company must continue to invest in projects that offer the highest rate of return possible.

What is its book value at december : A piece of equipment was acquired on January 1, 2015, at a cost of $32,000, with an estimated residual value. What is its book value at December 31, 2016?

Find what is the allowed depreciation charge per unit : A piece of machinery at a maunfacturing plant has a cost basis of $40,000, and a salvage value of $7,000, What is the allowed depreciation charge per unit.

User Account

All Pages