Miki,who Is Single and 57 Years Old,has a Quaifying High-Deductible

question 11

Essay

Miki,who is single and 57 years old,has a quaifying high-deductible insurance plan.She had the following transactions with her HSA during the year: $\begin{array}{lr}\text { Contributions to her HSA } & \$ 3,250 \\\text { Interest income earned on her HSA } & \$ 9 \\\text { Medical expenses paid from her HSA } & \$ 5,739 \\\text { HSA distribution to pay for her daughter's wedding } & \$ 7,650\end{array}$
a.How much may Miki claim as a deduction for adjusted gross income?
b.What is the amount that Miki must report on her tax return as income from her HSA?
c.How much is subject to a penalty? What is the penalty percentage?

---

Definitions:

Harry Harlow

An American psychologist best known for his maternal-separation and social isolation experiments on rhesus monkeys, which highlighted the importance of caregiving and companionship.

Isolated Newborn Monkeys

Isolated newborn monkeys refers to subjects in scientific studies examining the effects of isolation from peers and mothers on the social and psychological development of primates.

Need For Contact

The intrinsic human requirement for social interaction and physical touch.

Aggression

Various activities that have the potential to inflict harm, either physically or mentally, on oneself, other individuals, or environmental entities.