Prepare a Form 1040 (pages 1 and 2).Statement of FactsTaxpayer Jane Doe has the following personal information:Name: John Done (age 45) and Jane Doe (age 43)John SSN: 444-44-4444 and Jane SSN: 555-55-5555Address: 555 Any Street, Anytown, CA 90000Marital Status: MarriedMinor Children: 0Summary:John and Jane Doe (Mr. & Ms. DOE) have been married since 2013 and have filed jointly every year and have always claimed the standard deduction. Mr. DOE is a nurse at a local hospital and Ms. DOE is a self-employed journalist. Mr. DOE received a W-2 detailing his wages and other employee benefits (details below). Ms. DOE's computes her financial activity from journalism using the cash method accounting (details below).In addition to their earned income, Mr. & Ms. DOE also have the following other sources of income and expenses:Interest income from banks: $1,000Municipal Bond Interest: $3,000Ordinary Dividends: $500IRA distribution (rolled-over): $15,000Gift from Mr. DOE's cousin: $4,000Short term capital gain from the sale of crypto-currency: $3,000Long term capital loss from stock: ($9,000)Gross Annuity Income: $12,000State income tax refund: $2,000Gambling Winnings: $5,000Gambling Losses: $6,000Charitable Cash Gifts: $5002021 IRA Contribution: $12,000Mortgage Interest on Form 1098: $8,000 (Personal Residence)Property Taxes: $2,000 (Personal Residence)Medical Expenses: $1,000 (not premiums)Sale of Old Computer: $500 ($0.00 adjusted basis / fully depreciated)With regard to Mr. DOE's job as a nurse, Mr. DOE receives an annual salary of $70,000. Mr. DOE's employer withheld: 1) $12,000 of federal income taxes; 2) $3,500 of state income taxes; and 3) all required amount of Social Security and Medicare taxes. In addition to his salary, Mr. DOE received the following employee benefits:Employer paid health insurance premiums of $14,000; andEmployer paid group term life insurance with $50,000 in coverage.With regard to Mr. & Ms. DOE's annuity, they received $1,000 per month in 2021. Mr. & Ms. DOE purchased the 10 year fixed term annuity contact 10 years ago for $36,000. 2021 was the first year Mr. & Ms. DOE received payments under the annuity contract. Mr. & Ms. DOE received all annuity payments in 2021.In 2021, Ms. DOE had the following financial activity as a self-employed journalist:Payments received/earned from customers: $80,000Self-employed expenses and payments made related to her journalism income:$6,000 of office rent;$2,000 for new office equipment;$1,000 in accounting and legal fees;$4,000 in travel costs;$2,000 in non-travel meals;$500 in dues and subscriptions$4,000 in state income taxes.$13,000 in federal estimated paymentsFor simplicity purposes, please ignore / disregard: 1) the calculation and deduction of QBI; and 2) Line 30 on Form 1040. If Mr. & Ms. DOE receive a refund, they would like the refund applied to their 2022 taxes. Leave all lines after line 38 blank. Department of the Treasury-Internal Revenue Service(99)€10402021U.S. Individual Income Tax ReturnOMB No. 1545-0074 IRS Use Only-Do not write or staple in this space.Filing Status Single Married filing jointly Married filing separately (MFS)Check onlyone box.Head of household (HOH) Qualifying widow(er) (QW)If you checked the MFS box, enter the name of your spouse. If you checked the HOH or QW box, enter the child's name if the qualifyingperson is a child but not your dependent ►Your first name and middle initialLast nameYour social security numberIf joint return, spouse's first name and middle initialLast nameSpouse's social security numberHome address (number and street). If you have a P.O. box, see instructions.Apt. no.Presidential Election CampaignCheck here if you, or yourspouse if filing jointly, want $3to go to this fund. Checking abox below will not changeCity, town, or post office. If you have a foreign address, also complete spaces below.StateZIP codeForeign country nameForeign province/state/countyForeign postal code your tax or refund.YouSpouseNoYesAt any time during 2021, did you receive, sell, exchange, or otherwise dispose of any financial interest in any virtual currency?Standard Someone can claim:DeductionYou as a dependentYour spouse as a dependentSpouse itemizes on a separate return or you were a dual-status alienAge/Blindness You: Were born before January 2, 1957Dependents (see instructions):Are blind Spouse:(2) Social securityWas born before January 2, 1957(3) Relationshipto youIs blind(4)✔ if qualifies for (see instructions):Child tax credit Credit for other dependentsnumber(1) First nameLast nameIf morethan fourdependents,see instructionsand checkhere ►11 Wages, salaries, tips, etc. Attach Form(s) W-2Attach2a Tax-exempt interest.2ab Taxable interest2bSch. B if3a Qualified dividends3a3bb Ordinary dividendsrequired.4aIRA distributions .4ab Taxable amount.4b5aPensions and annuities5ab Taxable amount.5b6aSocial security benefits.6ab Taxable amount.6bStandardDeduction for-77Capital gain or (loss). Attach Schedule D if required. If not required, check hereOther income from Schedule 1, line 1088• Single orMarried filingseparately,$12,55099Add lines 1, 2b, 3b, 4b, 5b, 6b, 7, and 8. This is your total incomeAdjustments to income from Schedule 1, line 26• Married filing10101111jointly orQualifyingwidow(er),$25,100Subtract line 10 from line 9. This is your adjusted gross income12a Standard deduction or itemized deductions (from Schedule A)12a12b• Head ofhousehold,$18,800b Charitable contributions if you take the standard deduction (see instructions)Add lines 12a and 12b12cс• If you checked 1313Qualified business income deduction from Form 8995 or Form 8995-AAdd lines 12c and 1314any box underStandardDeduction,1415Taxable income. Subtract line 14 from line 11. If zero or less, enter -0-15see instructions.For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions.Cat. No. 11320BForm 1040 (2021) Form 1040 (2021)16Tax (see instructions). Check if any from Form(s): 1 8814 2 4972 3Amount from Schedule 2, line 31718Add lines 16 and 1719Nonrefundable child tax creditcredit for other dependents from Schedule 881220Amount from Schedule 3, line 821Add lines 19 and 2022Subtract line 21 from line 18. If zero or less, enter -0-23Other taxes, including self-employment tax, from Schedule 2, line 2124Add lines 22 and 23. This is your total tax25Federal income tax withheld from:aForm(s) W-225ab Form(s) 109925bсOther forms (see instructions)25cdAdd lines 25a through 25c262021 estimated tax payments and amount applied from 2020 returnEarned income credit (EIC)27a27aCheck here if you were born after January 1, 1998, and beforeJanuary 2, 2004, and you satisfy all the other requirements fortaxpayers who are at least age 18, to claim the EIC. See instructions ►Nontaxable combat pay election27bbсPrior year (2019) earned income27c2828Refundable child tax credit or additional child tax credit from Schedule 8812American opportunity credit from Form 8863, line 8.292930Recovery rebate credit. See instructions3031Amount from Schedule 3, line 15313232Add lines 27a and 28 through 31. These are your total other payments and refundable creditsAdd lines 25d, 26, and 32. These are your total payments333334Refund3435aDirect deposit? ▶bSee instructions.► dIf line 33 is more than line 24, subtract line 24 from line 33. This is the amount you overpaidAmount of line 34 you want refunded to you. If Form 8888 is attached, check hereRouting number► c Type:35aCheckingAccount number3636.Amount of line 34 you want applied to your 2022 estimated tax.Amount you owe. Subtract line 33 from line 24. For details on how to pay, see instructionsEstimated tax penalty (see instructions)38Amount 37You Owe 3837▶Third PartyDesigneeDo you want to allow another person to discuss this return with the IRS? SeeinstructionsYes. Complete below. NoDesignee'sname ▶Phoneno. ►Personal identificationnumber (PIN) ►SignUnder penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge andbelief, they are true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.Your signatureDateYour occupationHereIf the IRS sent you an IdentityProtection PIN, enter it here(see inst.) ►Joint return?Spouse's signature. If a joint return, both must sign. DateSpouse's occupationSee instructions.Keep a copy foryour records.If the IRS sent your spouse anIdentity Protection PIN, enter it here(see inst.) ►Phone no.Preparer's namePreparer's signatureCheck if:PaidPreparerSelf-employedFirm's name ▶Use OnlyFirm's address ►Go to www.irs.gov/Form 1040 for instructions and the latest information.Form 1040 (2021)If you have aqualifying child,attach Sch. EIC.Email addressDateSavingsPTIN16171819202122232425d26بابايا | |Phone no.Firm's EIN ►Page 2

Question

Prepare a Form 1040 (pages 1 and 2).Statement of FactsTaxpayer Jane Doe has the following personal information:Name: John Done (age 45) and Jane Doe (age 43)John SSN: 444-44-4444 and Jane SSN: 555-55-5555Address: 555 Any Street, Anytown, CA 90000Marital Status: MarriedMinor Children: 0Summary:John and Jane Doe (Mr. & Ms. DOE) have been married since 2013 and have filed jointly every year and have always claimed the standard deduction. Mr. DOE is a nurse at a local hospital and Ms. DOE is a self-employed journalist. Mr. DOE received a W-2 detailing his wages and other employee benefits (details below). Ms. DOE's computes her financial activity from journalism using the cash method accounting (details below).In addition to their earned income, Mr. & Ms. DOE also have the following other sources of income and expenses:Interest income from banks: $1,000Municipal Bond Interest: $3,000Ordinary Dividends: $500IRA distribution (rolled-over): $15,000Gift from Mr. DOE's cousin: $4,000Short term capital gain from the sale of crypto-currency: $3,000Long term capital loss from stock: ($9,000)Gross Annuity Income: $12,000State income tax refund: $2,000Gambling Winnings: $5,000Gambling Losses: $6,000Charitable Cash Gifts: $5002021 IRA Contribution: $12,000Mortgage Interest on Form 1098: $8,000 (Personal Residence)Property Taxes: $2,000 (Personal Residence)Medical Expenses: $1,000 (not premiums)Sale of Old Computer: $500 ($0.00 adjusted basis / fully depreciated)With regard to Mr. DOE's job as a nurse, Mr. DOE receives an annual salary of $70,000. Mr. DOE's employer withheld: 1) $12,000 of federal income taxes; 2) $3,500 of state income taxes; and 3) all required amount of Social Security and Medicare taxes. In addition to his salary, Mr. DOE received the following employee benefits:Employer paid health insurance premiums of $14,000; andEmployer paid group term life insurance with $50,000 in coverage.With regard to Mr. & Ms. DOE's annuity, they received $1,000 per month in 2021. Mr. & Ms. DOE purchased the 10 year fixed term annuity contact 10 years ago for $36,000. 2021 was the first year Mr. & Ms. DOE received payments under the annuity contract. Mr. & Ms. DOE received all annuity payments in 2021.In 2021, Ms. DOE had the following financial activity as a self-employed journalist:Payments received/earned from customers: $80,000Self-employed expenses and payments made related to her journalism income:$6,000 of office rent;$2,000 for new office equipment;$1,000 in accounting and legal fees;$4,000 in travel costs;$2,000 in non-travel meals;$500 in dues and subscriptions$4,000 in state income taxes.$13,000 in federal estimated paymentsFor simplicity purposes, please ignore / disregard: 1) the calculation and deduction of QBI; and 2) Line 30 on Form 1040. If Mr. & Ms. DOE receive a refund, they would like the refund applied to their 2022 taxes. Leave all lines after line 38 blank. Department of the Treasury-Internal Revenue Service(99)€10402021U.S. Individual Income Tax ReturnOMB No. 1545-0074 IRS Use Only-Do not write or staple in this space.Filing Status Single Married filing jointly Married filing separately (MFS)Check onlyone box.Head of household (HOH) Qualifying widow(er) (QW)If you checked the MFS box, enter the name of your spouse. If you checked the HOH or QW box, enter the child's name if the qualifyingperson is a child but not your dependent ►Your first name and middle initialLast nameYour social security numberIf joint return, spouse's first name and middle initialLast nameSpouse's social security numberHome address (number and street). If you have a P.O. box, see instructions.Apt. no.Presidential Election CampaignCheck here if you, or yourspouse if filing jointly, want $3to go to this fund. Checking abox below will not changeCity, town, or post office. If you have a foreign address, also complete spaces below.StateZIP codeForeign country nameForeign province/state/countyForeign postal code your tax or refund.YouSpouseNoYesAt any time during 2021, did you receive, sell, exchange, or otherwise dispose of any financial interest in any virtual currency?Standard Someone can claim:DeductionYou as a dependentYour spouse as a dependentSpouse itemizes on a separate return or you were a dual-status alienAge/Blindness You: Were born before January 2, 1957Dependents (see instructions):Are blind Spouse:(2) Social securityWas born before January 2, 1957(3) Relationshipto youIs blind(4)✔ if qualifies for (see instructions):Child tax credit Credit for other dependentsnumber(1) First nameLast nameIf morethan fourdependents,see instructionsand checkhere ►11 Wages, salaries, tips, etc. Attach Form(s) W-2Attach2a Tax-exempt interest.2ab Taxable interest2bSch. B if3a Qualified dividends3a3bb Ordinary dividendsrequired.4aIRA distributions .4ab Taxable amount.4b5aPensions and annuities5ab Taxable amount.5b6aSocial security benefits.6ab Taxable amount.6bStandardDeduction for-77Capital gain or (loss). Attach Schedule D if required. If not required, check hereOther income from Schedule 1, line 1088• Single orMarried filingseparately,$12,55099Add lines 1, 2b, 3b, 4b, 5b, 6b, 7, and 8. This is your total incomeAdjustments to income from Schedule 1, line 26• Married filing10101111jointly orQualifyingwidow(er),$25,100Subtract line 10 from line 9. This is your adjusted gross income12a Standard deduction or itemized deductions (from Schedule A)12a12b• Head ofhousehold,$18,800b Charitable contributions if you take the standard deduction (see instructions)Add lines 12a and 12b12cс• If you checked 1313Qualified business income deduction from Form 8995 or Form 8995-AAdd lines 12c and 1314any box underStandardDeduction,1415Taxable income. Subtract line 14 from line 11. If zero or less, enter -0-15see instructions.For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions.Cat. No. 11320BForm 1040 (2021) Form 1040 (2021)16Tax (see instructions). Check if any from Form(s): 1 8814 2 4972 3Amount from Schedule 2, line 31718Add lines 16 and 1719Nonrefundable child tax creditcredit for other dependents from Schedule 881220Amount from Schedule 3, line 821Add lines 19 and 2022Subtract line 21 from line 18. If zero or less, enter -0-23Other taxes, including self-employment tax, from Schedule 2, line 2124Add lines 22 and 23. This is your total tax25Federal income tax withheld from:aForm(s) W-225ab Form(s) 109925bсOther forms (see instructions)25cdAdd lines 25a through 25c262021 estimated tax payments and amount applied from 2020 returnEarned income credit (EIC)27a27aCheck here if you were born after January 1, 1998, and beforeJanuary 2, 2004, and you satisfy all the other requirements fortaxpayers who are at least age 18, to claim the EIC. See instructions ►Nontaxable combat pay election27bbсPrior year (2019) earned income27c2828Refundable child tax credit or additional child tax credit from Schedule 8812American opportunity credit from Form 8863, line 8.292930Recovery rebate credit. See instructions3031Amount from Schedule 3, line 15313232Add lines 27a and 28 through 31. These are your total other payments and refundable creditsAdd lines 25d, 26, and 32. These are your total payments333334Refund3435aDirect deposit? ▶bSee instructions.► dIf line 33 is more than line 24, subtract line 24 from line 33. This is the amount you overpaidAmount of line 34 you want refunded to you. If Form 8888 is attached, check hereRouting number► c Type:35aCheckingAccount number3636.Amount of line 34 you want applied to your 2022 estimated tax.Amount you owe. Subtract line 33 from line 24. For details on how to pay, see instructionsEstimated tax penalty (see instructions)38Amount 37You Owe 3837▶Third PartyDesigneeDo you want to allow another person to discuss this return with the IRS? SeeinstructionsYes. Complete below. NoDesignee'sname ▶Phoneno. ►Personal identificationnumber (PIN) ►SignUnder penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge andbelief, they are true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.Your signatureDateYour occupationHereIf the IRS sent you an IdentityProtection PIN, enter it here(see inst.) ►Joint return?Spouse's signature. If a joint return, both must sign. DateSpouse's occupationSee instructions.Keep a copy foryour records.If the IRS sent your spouse anIdentity Protection PIN, enter it here(see inst.) ►Phone no.Preparer's namePreparer's signatureCheck if:PaidPreparerSelf-employedFirm's name ▶Use OnlyFirm's address ►Go to www.irs.gov/Form 1040 for instructions and the latest information.Form 1040 (2021)If you have aqualifying child,attach Sch. EIC.Email addressDateSavingsPTIN16171819202122232425d26بابايا | |Phone no.Firm's EIN ►Page 2

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