Which of the Following Tax Payments Is Allowed as an Itemized

question 29

Multiple Choice

Which of the following tax payments is allowed as an itemized income tax deduction?

• A)Federal gift tax
• B)Payroll tax on wages paid to a housekeeper
• C)Social Security tax withheld from salary
• D)Local property tax on personal automobile

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Definitions:

Planning Budget

An estimate of future revenues and expenses that serves as a financial roadmap for an organisation.

Wages And Salaries

Compensation paid to employees for their services, where wages are often hourly rates and salaries are fixed annual amounts.

Planning Budget

A financial plan for the future which outlines projected income and expenditures during a specific period.

Net Operating Income

The profit generated from a company's regular business operations, excluding deductions for interest and taxes.