Bonnie\'s charitable centributions and AGI for the past four years were as follo
ID: 2565631 • Letter: B
Question
Bonnie's charitable centributions and AGI for the past four years were as follows (Click the icon 10 view the charitable contributions and AGI ) Requirement whatis the amount of the chantable deduction for each year and the order in which the deduction and carryovers are used? (If a box is not used in the table leave the box empty, do not enter a zero 2014 2015 2016 2017 Amount of deduction Carryover balance rom 2014 from 2015 from 2010 from 2017 Data Table 2014 2015 016 2017 50,00055,000 58,00; 60.000 Contibutions subject to e 50% tmtaton 40,000 29,000 25,000 10,000Explanation / Answer
The maximum deduction allowed in each year cannot exceed 50% of AGI in any year and the excess of
contribution is carried out to maximum of 5 years and is set off on first come first serve basis.
Maximum Deduction Allowed and Balance Carryover :-
Years 2014 2015 2016 2017 AGI $ 50000 $ 55000 $ 58000 $ 60000 Contributions 40000 29000 25000 10000 Less : Deductions 25000 27500 29000 30000 Carryover 15000 1500 (4000) (20000) Set off 4000 12500 Total Deduction 25000 27500 33000 42500