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<strong>DEVRY</strong> <strong>ACCT</strong> <strong>553</strong> <strong>Week</strong> 4 <strong>You</strong> <strong>Decide</strong><br />
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<strong>ACCT</strong> <strong>553</strong> <strong>Week</strong> 4 <strong>You</strong> <strong>Decide</strong><br />
Jane Smith Case<br />
How is the $300,000 treated for purposes of federal tax income?<br />
Jane Smith Tax Issues:<br />
(a) What are the different tax consequences between paying down the mortgage debt<br />
and assuming a new mortgage debt for federal income tax purposes?<br />
(b) Should John and Jane file separate or joint tax returns?
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