Beth R. jordan lives at 2322 skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manfacturing Company, 1203 Western Avenue, Mesa, AZ85201(employer identification number 11-11111111). She also Writes computer software programs for tax practitioners and has a part-time tax practise. Beth is a single and has no dependents. Beths's birthday is july 4, 1972, and her Social Security number is 123-45-6785. She wants to contribute $3 to the President Election Campaign Fund. The following information is shown on Beth's Wage and Tax Statement (form W-2) for 2018. The following information is shown on Beth's Wage Tax Statement (form W-2) for 2018 Chapter 13, Problem 44CP, Beth R. jordan lives at 2322 Skyview Road, Mesa, AZ85201. She is Tax accountant with Mesa , example 1 During the year, Beth received interest of $1,300 from Arizona Federal Savings and Loan and $400 from Arizona State Bank. Each financial institution reported the interest income on Form 1099-INT. She received qualified dividends of $800 from Blue Corporation , $750 from Green Corporation, and $650 from Orange Corporation. Each corporation reported Beth's dividend payements on a Form 1099-DIV. Beth received a $1,100 income tax refund from the state of Arizona on April 29, 2018. On her 2017 Federal income tax return, She reported total itemized deductions of $8,200, which included $2,200 of state income tax withheld by her employer. Fees earned from her part-time tax practise in 2018 totaled $3,800. She paid $600 to have the tax returns processed by a computerized tax return service. On Febuary 8, 2018 .Beth bought 500 share of Gray Corporation. common stock for $17.60 a share. On September 12, 2018 Beth sold the stock for $14 a share. On Januray 2,2018 Beth accquired 100 shares of blue corporation common stock for $30 a share She sold the stock on December 19, 2018, for $55 a share . Both stock transaction were reported to Beth on Form 1099 -B; basis was not reported to the IRS. Beth bought a used sport utility vehicle for $6000 on june 5, 2018. She purchased the vehicle from her brother-in-law, who was unemployed and was in need of cash. On Novemeber 2, 2018, She sold the vehicle to a friend for $6,500. During the year, Beth records revenue of $16,000 from the sale of a software program she developed. Beth incurred the following expenses in connection with hwe software developement bussiness. Chapter 13, Problem 44CP, Beth R. Jordan lives at 2322 Skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa example 2 Beth elected to expense the maximum portion of the cost of the computer, printer , and furniture allowed under the provision of $179. These items were placed in services on January 15, 2018 and used 100% in her bussiness. Although her employer suggested thet Beth attend a convention on current developements in corporate taxation, Beth was not reimbursed for the travel expenses of $1,420 included $200 for the cost of meals. During the year, Beth paid $300 for prescription medicines and $2,875 for doctor billls and hospital bills. Medical insurance premiums were paid for her by her employer. Beth paid real prpoerty taxes of $1,766 on her home. Interest o her home mortgage (Valley National Bank) was $3,845 and interest to credit card companies was $320. Beth contributed $2,080 to various qualifying charities during the year. Professional dues and subscriptions totaled $350. Beth paid estimated taxes of $1,000. Part 1-Tax Computation Compute the net tax payable or refund due to Beth R. jordan for 2018. If you use tax forms for your solution, youo will need Form 1040 (and its schedules 1,4,5,B,C,D and SE) and Forms 4562 and 8949. Suggested software: ProConnect Tax Online Part 2-Tax Planning Beth is anticipating significant changes in her life in 2019, and she has asked you to estimate her taxable income and tax liablity for 2019. Beth just recevied word that she has been qualified to adopt a two-year-old daughter. Beth expects that the adoption will be finalized in 2019 and that she will incur approximately $2,000 adoption expenses. In addition, she expects to incur approximately $3,500 of child and dependent care expenses relating to the care of her new daughter, which will enable her to keep her jobs at Mesa Manufacturing Company. However, with the additional demands on her time because of her daughter. she has decided to discounting her two parts part-time jobs (i.e., the part-time tax practise and her software bussiness), Beth expects her interest income to increase from $1,700 to $2,050. In your computations, assume that all other 2019 income and expemses will be same as 2018 amounts.
Beth R. jordan lives at 2322 skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manfacturing Company, 1203 Western Avenue, Mesa, AZ85201(employer identification number 11-11111111). She also Writes computer software programs for tax practitioners and has a part-time tax practise. Beth is a single and has no dependents. Beths's birthday is july 4, 1972, and her Social Security number is 123-45-6785. She wants to contribute $3 to the President Election Campaign Fund. The following information is shown on Beth's Wage and Tax Statement (form W-2) for 2018.
The following information is shown on Beth's Wage Tax Statement (form W-2) for 2018
Chapter 13, Problem 44CP, Beth R. jordan lives at 2322 Skyview Road, Mesa, AZ85201. She is Tax accountant with Mesa , example 1
During the year, Beth received interest of $1,300 from Arizona Federal Savings and Loan and $400 from Arizona State Bank. Each financial institution reported the interest income on Form 1099-INT. She received qualified dividends of $800 from Blue Corporation , $750 from Green Corporation, and $650 from Orange Corporation. Each corporation reported Beth's dividend payements on a Form 1099-DIV.
Beth received a $1,100 income tax refund from the state of Arizona on April 29, 2018. On her 2017 Federal income tax return, She reported total itemized deductions of $8,200, which included $2,200 of state income tax withheld by her employer.
Fees earned from her part-time tax practise in 2018 totaled $3,800. She paid $600 to have the tax returns processed by a computerized tax return service.
On Febuary 8, 2018 .Beth bought 500 share of Gray Corporation. common stock for $17.60 a share. On September 12, 2018 Beth sold the stock for $14 a share.
On Januray 2,2018 Beth accquired 100 shares of blue corporation common stock for $30 a share She sold the stock on December 19, 2018, for $55 a share . Both stock transaction were reported to Beth on Form 1099 -B; basis was not reported to the IRS.
Beth bought a used sport utility vehicle for $6000 on june 5, 2018. She purchased the vehicle from her brother-in-law, who was
During the year, Beth records revenue of $16,000 from the sale of a software program she developed. Beth incurred the following expenses in connection with hwe software developement bussiness.
Chapter 13, Problem 44CP, Beth R. Jordan lives at 2322 Skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa example 2
Beth elected to expense the maximum portion of the cost of the computer, printer , and furniture allowed under the provision of $179. These items were placed in services on January 15, 2018 and used 100% in her bussiness.
Although her employer suggested thet Beth attend a convention on current developements in corporate
During the year, Beth paid $300 for prescription medicines and $2,875 for doctor billls and hospital bills. Medical insurance premiums were paid for her by her employer. Beth paid real prpoerty taxes of $1,766 on her home. Interest o her home mortgage (Valley National Bank) was $3,845 and interest to credit card companies was $320. Beth contributed $2,080 to various qualifying charities during the year. Professional dues and subscriptions totaled $350.
Beth paid estimated taxes of $1,000.
Part 1-Tax Computation
Compute the net tax payable or refund due to Beth R. jordan for 2018. If you use tax forms for your solution, youo will need Form 1040 (and its schedules 1,4,5,B,C,D and SE) and Forms 4562 and 8949. Suggested software: ProConnect Tax Online
Part 2-Tax Planning
Beth is anticipating significant changes in her life in 2019, and she has asked you to estimate her taxable income and tax liablity for 2019.
Beth just recevied word that she has been qualified to adopt a two-year-old daughter. Beth expects that the adoption will be finalized in 2019 and that she will incur approximately $2,000 adoption expenses. In addition, she expects to incur approximately $3,500 of child and dependent care expenses relating to the care of her new daughter, which will enable her to keep her jobs at Mesa Manufacturing Company. However, with the additional demands on her time because of her daughter. she has decided to discounting her two parts part-time jobs (i.e., the part-time tax practise and her software bussiness), Beth expects her interest income to increase from $1,700 to $2,050.
In your computations, assume that all other 2019 income and expemses will be same as 2018 amounts.
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