TABLE 6A-1 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Half-Year Convention Recovery...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
TABLE 6A-1 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Half-Year Convention Recovery Year 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 1 33.33 20.00 14.29 10.00 5.00 3.750 2 44.45 32.00 24.49 18.00 9.50 7.219 3 14.81 19.20 17.49 14.40 8.55 6.677 4 7.41 11.52 12.49 11.52 7.70 6.177 5 11.52 8.93 9.22 6.93 5.713 6 5.76 8.92 7.37 6.23 5.285 7 8.93 6.55 5.90 4.888 8 4.46 6.55 5.90 4.522 9 6.56 5.91 4.462 10 6.55 5.90 4.461 11 3.28 5.91 4.462 12 5.90 4.461 13 5.91 4.462 14 5.90 4.461 15 5.91 4.462 16 2.95 4.461 17 4.462 18 4.461 19 4.462 20 4.461 21 2.231 * May not be used for farm business property generally placed in service after 1988. See Table 14, Rev. Proc. 87-57, 1987-2 CB 687. TABLE 6A-2 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 1st Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 58.33 35.00 25.00 19.50 8.75 6.563 2 27.78 26.00 21.43 16.50 9.13 7.000 3 12.35 15.60 15.31 13.20 8.21 6.482 4 1.54 11.01 10.93 10.56 7.39 5.996 5 11.01 8.75 8.45 6.65 5.546 6 1.38 8.74 6.76 5.99 5.130 7 8.75 6.55 5.90 4.746 8 1.09 6.55 5.91 4.459 9 6.56 5.90 4.459 10 6.55 5.91 4.459 11 0.82 5.90 4.459 12 5.91 4.460 13 5.90 4.459 14 5.91 4.460 15 5.90 4.459 16 0.74 4.460 17 4.459 18 4.460 19 4.459 20 4.460 21 0.557 * May not be used for farm business property generally placed in service after 1988. See Table 15, Rev. Proc. 87-57, 1987-2 CB 687. TABLE 6A-3 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 2nd Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 41.67 25.00 17.85 12.50 6.25 4.688 2 38.89 30.00 23.47 17.50 9.38 7.148 3 14.14 18.00 16.76 14.00 8.44 6.612 4 5.30 11.37 11.97 11.20 7.59 6.116 5 11.37 8.87 8.96 6.83 5.658 6 4.26 8.87 7.17 6.15 5.233 7 8.87 6.55 5.91 4.841 8 3.33 6.55 5.90 4.478 9 6.56 5.91 4.463 10 6.55 5.90 4.463 11 2.46 5.91 4.463 12 5.90 4.463 13 5.91 4.463 14 5.90 4.463 15 5.91 4.462 16 2.21 4.463 17 4.462 18 4.463 19 4.462 20 4.463 21 * May not be used for farm business property generally placed in service after 1988. See Table 16, Rev. Proc. 87-57, 1987-2 CB 687. 1.673 TABLE 6A-4 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 3rd Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 25.00 15.00 10.71 7.50 3.75 2.813 2 50.00 34.00 25.51 18.50 9.63 7.289 3 16.67 20.40 18.22 14.80 8.66 6.742 4 16.67 12.24 13.02 11.84 7.80 6.237 5 8.33 11.30 9.30 9.47 7.02 5.769 6 7.06 8.85 7.58 6.31 5.336 7 8.86 6.55 5.90 4.936 8 5.53 6.55 5.90 4.566 9 6.56 5.91 4.460 10 6.55 5.90 4.460 11 4.10 5.91 4.460 12 5.90 4.460 13 5.91 4.461 14 5.90 4.460 15 5.91 4.461 16 3.69 4.460 17 4.461 18 4.460 19 4.461 20 4.460 21 2.788 * May not be used for farm business property generally placed in service after 1988. See Table 17, Rev. Proc. 87-57, 1987-2 CB 687. TABLE 6A-5 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 4th Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 8.33 5.00 3.57 2.50 1.25 0.938 2 61.11 38.00 27.55 19.50 9.88 7.430 3 20.37 22.80 19.68 15.60 8.89 6.872 4 10.19 13.68 14.06 12.48 8.00 6.357 5 10.94 10.04 9.98 7.20 5.880 6 9.58 8.73 7.99 6.48 5.439 7 8.73 6.55 5.90 5.031 8 7.64 6.55 5.90 4.654 9 6.56 5.90 4.458 10 6.55 5.91 4.458 11 5.74 5.90 4.458 12 5.91 4.458 13 5.90 4.458 14 5.91 4.458 15 5.90 4.458 16 5.17 4.458 17 4.458 18 4.459 19 4.458 20 4.459 21 3.901 * May not be used for farm business property generally placed in service after 1988. See Table 18, Rev. Proc. 87-57, 1987-2 CB 687. Assume the taxpayer does NOT wish to contribute to the Presidential Election Fund, unless otherwise stated in the problem. In addition, the taxpayers did NOT receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency during the year. Pat and Jordan Beber are married and file a joint return in 2022. They live at 12345 Hemenway Avenue, Marlborough, MA 01752. Pat is a self-employed tax preparer whose SSN is 412-34-5670. Jordan is a software programmer whose SSN is 412-34-5671. Jordan had the following income and expenses for the year: Jordan's W-2: Gross wages Social security tax Medicare tax Federal withholding tax State withholding tax $ 100,776 6,248 1,461 18,735 4,800 Pat was the sole proprietor of NAMA Tax Service. The business is located at 123 Main Street, Marlborough, MA 01752, and the business code is 541213. Pat had the following revenue and expenses (Cash basis): Revenue Expenses: Advertising Insurance Telephone Office rent Utilities Office supplies Depreciation $ 80,000 1,200 3,200 2,400 18,000 4,800 5,000 6,041 (must be allocated to the § 1231 assets listed next) Pat had the following business assets: ⚫ Office furniture: Purchased for $4,950 on May 20, 2020. The equipment is being depreciated over seven-year MACRS 200% declining balance. Pat sold it on May 15, 2022, for $4,000. ⚫ Office equipment: Purchased a copier for $13,800 on January 10, 2022. The copier is being depreciated over five-year MACRS 200% declining balance. Pat makes no elections for § 179 or bonus depreciation. ⚫ Computer and equipment: Purchased a computer system for $8,900 on January 2, 2021. The computer is being depreciated over five-year MACRS 200% declining balance. Pat makes no elections for § 179 or bonus depreciation. Pat and Jordan had the following other sources of income and deductions: • Interest from a CD in the amount of $1,410. ⚫ Long-term loss carryover from 2019 of $5,000. • Real estate taxes of $8,459. • Home mortgage interest of $16,600. ⚫Charitable contributions in cash over the year of $2,500; all receipts and acknowledgments were received from the charitable organizations. Pat has made four quarterly installments of $250 each as estimated taxes for 2022. All estimated tax payments were paid by the due date using the 1040-ES coupons. Required: Prepare Form 1040 and all related schedules, forms, and worksheets for Pat and Jordan Beber for 2022. The Bebers do not donate to the presidential election campaign. Use the appropriate Tax Tables, Tax Rate Schedules and Depreciation Tables (6A-1, 6A-2, 6A-3, 6A-4 and 6A-5). Note: Instructions can be found on certain cells within the forms. List the names of the taxpayers in the order in which they appear in the problem. Indicate losses with minus sign and enter all other values as positive amounts. Round your intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount. TABLE 6A-1 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Half-Year Convention Recovery Year 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 1 33.33 20.00 14.29 10.00 5.00 3.750 2 44.45 32.00 24.49 18.00 9.50 7.219 3 14.81 19.20 17.49 14.40 8.55 6.677 4 7.41 11.52 12.49 11.52 7.70 6.177 5 11.52 8.93 9.22 6.93 5.713 6 5.76 8.92 7.37 6.23 5.285 7 8.93 6.55 5.90 4.888 8 4.46 6.55 5.90 4.522 9 6.56 5.91 4.462 10 6.55 5.90 4.461 11 3.28 5.91 4.462 12 5.90 4.461 13 5.91 4.462 14 5.90 4.461 15 5.91 4.462 16 2.95 4.461 17 4.462 18 4.461 19 4.462 20 4.461 21 2.231 * May not be used for farm business property generally placed in service after 1988. See Table 14, Rev. Proc. 87-57, 1987-2 CB 687. TABLE 6A-2 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 1st Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 58.33 35.00 25.00 19.50 8.75 6.563 2 27.78 26.00 21.43 16.50 9.13 7.000 3 12.35 15.60 15.31 13.20 8.21 6.482 4 1.54 11.01 10.93 10.56 7.39 5.996 5 11.01 8.75 8.45 6.65 5.546 6 1.38 8.74 6.76 5.99 5.130 7 8.75 6.55 5.90 4.746 8 1.09 6.55 5.91 4.459 9 6.56 5.90 4.459 10 6.55 5.91 4.459 11 0.82 5.90 4.459 12 5.91 4.460 13 5.90 4.459 14 5.91 4.460 15 5.90 4.459 16 0.74 4.460 17 4.459 18 4.460 19 4.459 20 4.460 21 0.557 * May not be used for farm business property generally placed in service after 1988. See Table 15, Rev. Proc. 87-57, 1987-2 CB 687. TABLE 6A-3 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 2nd Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 41.67 25.00 17.85 12.50 6.25 4.688 2 38.89 30.00 23.47 17.50 9.38 7.148 3 14.14 18.00 16.76 14.00 8.44 6.612 4 5.30 11.37 11.97 11.20 7.59 6.116 5 11.37 8.87 8.96 6.83 5.658 6 4.26 8.87 7.17 6.15 5.233 7 8.87 6.55 5.91 4.841 8 3.33 6.55 5.90 4.478 9 6.56 5.91 4.463 10 6.55 5.90 4.463 11 2.46 5.91 4.463 12 5.90 4.463 13 5.91 4.463 14 5.90 4.463 15 5.91 4.462 16 2.21 4.463 17 4.462 18 4.463 19 4.462 20 4.463 21 * May not be used for farm business property generally placed in service after 1988. See Table 16, Rev. Proc. 87-57, 1987-2 CB 687. 1.673 TABLE 6A-4 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 3rd Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 25.00 15.00 10.71 7.50 3.75 2.813 2 50.00 34.00 25.51 18.50 9.63 7.289 3 16.67 20.40 18.22 14.80 8.66 6.742 4 16.67 12.24 13.02 11.84 7.80 6.237 5 8.33 11.30 9.30 9.47 7.02 5.769 6 7.06 8.85 7.58 6.31 5.336 7 8.86 6.55 5.90 4.936 8 5.53 6.55 5.90 4.566 9 6.56 5.91 4.460 10 6.55 5.90 4.460 11 4.10 5.91 4.460 12 5.90 4.460 13 5.91 4.461 14 5.90 4.460 15 5.91 4.461 16 3.69 4.460 17 4.461 18 4.460 19 4.461 20 4.460 21 2.788 * May not be used for farm business property generally placed in service after 1988. See Table 17, Rev. Proc. 87-57, 1987-2 CB 687. TABLE 6A-5 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* Mid-Quarter Convention (Property Placed in Service in 4th Quarter) Recovery Year 1 3-Year 5-Year 7-Year 10-Year 15-Year 20-Year 8.33 5.00 3.57 2.50 1.25 0.938 2 61.11 38.00 27.55 19.50 9.88 7.430 3 20.37 22.80 19.68 15.60 8.89 6.872 4 10.19 13.68 14.06 12.48 8.00 6.357 5 10.94 10.04 9.98 7.20 5.880 6 9.58 8.73 7.99 6.48 5.439 7 8.73 6.55 5.90 5.031 8 7.64 6.55 5.90 4.654 9 6.56 5.90 4.458 10 6.55 5.91 4.458 11 5.74 5.90 4.458 12 5.91 4.458 13 5.90 4.458 14 5.91 4.458 15 5.90 4.458 16 5.17 4.458 17 4.458 18 4.459 19 4.458 20 4.459 21 3.901 * May not be used for farm business property generally placed in service after 1988. See Table 18, Rev. Proc. 87-57, 1987-2 CB 687. Assume the taxpayer does NOT wish to contribute to the Presidential Election Fund, unless otherwise stated in the problem. In addition, the taxpayers did NOT receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency during the year. Pat and Jordan Beber are married and file a joint return in 2022. They live at 12345 Hemenway Avenue, Marlborough, MA 01752. Pat is a self-employed tax preparer whose SSN is 412-34-5670. Jordan is a software programmer whose SSN is 412-34-5671. Jordan had the following income and expenses for the year: Jordan's W-2: Gross wages Social security tax Medicare tax Federal withholding tax State withholding tax $ 100,776 6,248 1,461 18,735 4,800 Pat was the sole proprietor of NAMA Tax Service. The business is located at 123 Main Street, Marlborough, MA 01752, and the business code is 541213. Pat had the following revenue and expenses (Cash basis): Revenue Expenses: Advertising Insurance Telephone Office rent Utilities Office supplies Depreciation $ 80,000 1,200 3,200 2,400 18,000 4,800 5,000 6,041 (must be allocated to the § 1231 assets listed next) Pat had the following business assets: ⚫ Office furniture: Purchased for $4,950 on May 20, 2020. The equipment is being depreciated over seven-year MACRS 200% declining balance. Pat sold it on May 15, 2022, for $4,000. ⚫ Office equipment: Purchased a copier for $13,800 on January 10, 2022. The copier is being depreciated over five-year MACRS 200% declining balance. Pat makes no elections for § 179 or bonus depreciation. ⚫ Computer and equipment: Purchased a computer system for $8,900 on January 2, 2021. The computer is being depreciated over five-year MACRS 200% declining balance. Pat makes no elections for § 179 or bonus depreciation. Pat and Jordan had the following other sources of income and deductions: • Interest from a CD in the amount of $1,410. ⚫ Long-term loss carryover from 2019 of $5,000. • Real estate taxes of $8,459. • Home mortgage interest of $16,600. ⚫Charitable contributions in cash over the year of $2,500; all receipts and acknowledgments were received from the charitable organizations. Pat has made four quarterly installments of $250 each as estimated taxes for 2022. All estimated tax payments were paid by the due date using the 1040-ES coupons. Required: Prepare Form 1040 and all related schedules, forms, and worksheets for Pat and Jordan Beber for 2022. The Bebers do not donate to the presidential election campaign. Use the appropriate Tax Tables, Tax Rate Schedules and Depreciation Tables (6A-1, 6A-2, 6A-3, 6A-4 and 6A-5). Note: Instructions can be found on certain cells within the forms. List the names of the taxpayers in the order in which they appear in the problem. Indicate losses with minus sign and enter all other values as positive amounts. Round your intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount.
Expert Answer:
Answer rating: 100% (QA)
Lets start by summarizing the information provided Jordans Income and Expenses Gross wages 100776 Social security tax 6248 Medicare tax 1461 Federal w... View the full answer
Related Book For
Microsoft Excel Data Analysis And Business Modeling
ISBN: 9780137613663
7th Edition
Authors: Wayne Winston
Posted Date:
Students also viewed these accounting questions
-
Identify two specific examples of Jim Crow Legislation in the South during the early Twentieth Century.
-
Dana, runs an illegal gambling joint and here are her expenses and income. Gross income $300,000 Expenses: Rent $30,000 Maintenance $6000 Bribes to police $20,000 Supplies. $4,000 Food and drink...
-
Suppose that, in a Brazilian municipality, theprobability that a randomly selected resident likessoccer is 1/4, while the probability that he likes soap operas is1/2. Determine the probability that 1...
-
In what ways does Mercy Corps interact with its environment in order to fulfill its mission?
-
Coaching leadership, what are the pros and cons of this style of leadership? What are the benefits of using a "coaching" leadership style? Why?
-
Find the = 0.05 critical value for the chi-square distribution with 18 degrees of freedom.
-
Merger Co. has ten employees, each of whom earns $ 2,000 per month and has been employed since January 1. FICA Social Security taxes are 6.2% of the first $ 110,100 paid to each employee, and FICA...
-
The fixed assets have estimated useful lives as follows: Building - 31.5 years Computer Equipment - 5.0 years Office Equipment - 7.0 years Use the straight-line method of depreciation. Management has...
-
When measuring small pressure differences with a manometer, often one arm of the manometer is inclined to improve the accuracy of reading. (The pressure difference is still proportional to the...
-
5 Readers-writers problem Consider the solution below for the readers-writers problem. Reader code: do { wait (mutex); Writer code: do { wait (rw_mutex); read_count++; if (read_count == 1) wait...
-
integral: Consider the region R defined by x + y 9. Compute the following Re e+y dA
-
As shown in the module resources, the Sarbanes-Oxley Act of 2002 (SOX) has several implications for project management. Describe what you believe is the best use of EVM principle(s) to satisfy SOX...
-
The following road section views show the cut/fill analysis for a 200-ft road. Calculate the cumulative earthwork volume. Determine whether this volume is a cut or fill. Sta. # 0+00 0+50 1+00 1+50...
-
Suppose we wish to set up a production plan for the JC Company for the next six months. We are given the following information: Jan Feb March April May June 22 19 21 21 22 20 2000 1800 1200 1100 1100...
-
A mass m = : 22.3kg is supported against gravity by three ropes. Rope 1 pulls directly to the right (in the positive x-direction) exerting a force of magnitude T = 38.3N. Rope 2 pulls up and to the...
-
3. (35%) Calculate for 1 mole: a) Entropy of SIC at 800C. b) Entropy change of SIC when it is cooled from 800C to room temperature. Data: S2 (SIC) = 51.07 s/mol.K Hr-Hage-46570+ 115.0 T+5.9 x 10 T+...
-
Juanita owns a home in Richardson, TX. She purchases a Homeowners Policy (HO-3) from Farm State Ins. Co. The policy provides $100,000 in liability coverage (coverage E) and $5,000 in Med Pay coverage...
-
Consider a machine that costs $50,000 and will be depreciated over 10 years to a final salvage value of $5,000. Determine the depreciation during each year for the SLN, SYD, and DDB depreciation...
-
Write a formula that returns a persons age, given his or her date of birth. Use this method in order to calculate age of person if date of birth is 1944 if age is the name of function,...
-
Resolve this chapters drug-distribution example, assuming that demand in the West region increases to 13,000.
-
A pair of \(20^{\circ}\) full involute spur gears having 40 and 60 teeth of module \(4 \mathrm{~mm}\) are in mesh. The smaller gear rotates at \(1440 \mathrm{rpm}\). Find (a) sliding velocity at...
-
Calculate the minimum number of teeth on a pinion to avoid interference to have a speed ratio of 2.5:1. The pressure angle is \(20^{\circ}\) and addendum of one module of gear may be used.
-
The path of contact in involute gears is (a) a straight line (b) involute path (c) curved path (d) circle.
Study smarter with the SolutionInn App