Paul,a calendar year married taxpayer,files a joint return for 2012.Information for 2012 includes the following: Paul's allowable itemized deductions for 2012 are:
A) $13,500.
B) $32,400.
C) $39,200.
D) $42,200.
E) None of the above.

Question

Paul,a calendar year married taxpayer,files a joint return for 2012.Information for 2012 includes the following:  Paul's allowable itemized deductions for 2012 are:
A) $13,500. 
B) $32,400. 
C) $39,200. 
D) $42,200. 
E) None of the above.

Quizplus · Accepted Answer

The standard deduction for a married filing jointly taxpayer in 2012 was $11,900. Since Paul's allowable itemized deductions exceed this amount, he would choose to itemize. Therefore, his total itemized deductions would be the sum of the following: 
- State and local income taxes ($5,600)
- Real estate taxes ($6,000)
- Mortgage interest ($15,000)
- Charitable contributions ($12,600)
Adding these together gives a total of $39,200 in allowable itemized deductions.

Paul,a Calendar Year Married Taxpayer,files a Joint Return for 2012