51. Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
51. Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, and Wanda is employed part-time as a paralegal for a law firm. During 2020, the Deans had the following receipts: Salaries ($60,000 for Lance, $42,000 for Wanda) $102,000 Interest income- City of Albuquerque general purpose bonds $1,000 Ford Motor company bonds 1,100 Ally Bank certificate of deposit 400 2,500 Child support payments from John Allen Annual gifts from Settlement from Roadrunner Touring Company 7,200 parents 26,000 90,000 Lottery winnings Federal income tax refund (for tax year 2019) 600 400 Wanda was previously married to John Allen. When they divorced several years ago, Wanda was awarded custody of their two children, Penny and Kyle. (Note: Wanda has never issued a Form 8332 waiver.) Under the divorce decree, John was obligated to pay alimony and child support-the alimony payments were to termi- nate if Wanda remarried. In July, while going to lunch in downtown Santa Fe, Wanda was injured by a tour bus. Because the driver was clearly at fault, the owner of the bus, Roadrunner Tour- ing Company, paid her medical expenses (including a one-week stay in a hospital). To avoid a lawsuit, Roadrunner also transferred $90,000 to her in settlement of the personal injuries she sustained. The Deans had the following expenditures for 2020: Medical expenses (not covered by insurance) $7,200 Таxes— Property taxes on personal residence $3,600 State of New Mexico income tax (includes amount withheld from wages during 2020) 4,200 7,800 Interest on home mortgage (First National Bank) 6,000 Charitable contributions (cash) 3,600 Life insurance premiums (policy on Lance's life) 1,200 Contribution to traditional IRA (on Wanda's behalf) 6,000 Traffic fines 300 Contribution to the reelection campaign fund of the mayor of Santa Fe Funeral expenses for Wayne Boyle 500 6,300 The life insurance policy was taken out by Lance several years ago and desig- nates Wanda as the beneficiary. As a part-time employee, Wanda is excluded from coverage under her employer's pension plan. Consequently, she provides for her own retirement with a traditional IRA obtained at a local trust company. Because the mayor is a member of the local Chamber of Commerce, Lance felt compelled to make the political contribution. The Deans' household includes the following, for whom they provide more than half of the support: Social Security Number Birth Date Lance Dean (age 42) Wanda Dean (age 40) 123-45-6786 12/16/1978 123-45-6787 08/08/1980 Penny Allen (age 19) Kyle Allen (age 16) 123-45-6788 10/09/2001 123-45-6780 05/03/2004 Wayne Boyle (age 75) 123-45-6785 06/15/1945 Penny graduated from high school on May 9, 2020, and is undecided about college. During 2020, she earned $8,500 (placed in a savings account) playing a harp in the lobby of a local hotel. Wayne is Wanda's widower father who died on December 20, 2020. For the past few years, Wayne qualified as a dependent of the Deans. Federal income tax withheld is $3,900 (Lance) and $1,800 (Wanda). The proper amount of Social Security and Medicare tax was withheld. The Deans received the appropriate coronavirus recovery rebates (economic impact payments); related questions in ProConnect Tax should be ignored. Determine the Federal income tax for 2020 for the Deans on a joint return by completing the appropriate forms. They do not own and did not use any virtual currency during the year, and they do not want to contribute to the Presidential Election Campaign Fund. If an overpayment results, it is to be refunded to them. Suggested software: ProConnect Tax. 51. Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, and Wanda is employed part-time as a paralegal for a law firm. During 2020, the Deans had the following receipts: Salaries ($60,000 for Lance, $42,000 for Wanda) $102,000 Interest income- City of Albuquerque general purpose bonds $1,000 Ford Motor company bonds 1,100 Ally Bank certificate of deposit 400 2,500 Child support payments from John Allen Annual gifts from Settlement from Roadrunner Touring Company 7,200 parents 26,000 90,000 Lottery winnings Federal income tax refund (for tax year 2019) 600 400 Wanda was previously married to John Allen. When they divorced several years ago, Wanda was awarded custody of their two children, Penny and Kyle. (Note: Wanda has never issued a Form 8332 waiver.) Under the divorce decree, John was obligated to pay alimony and child support-the alimony payments were to termi- nate if Wanda remarried. In July, while going to lunch in downtown Santa Fe, Wanda was injured by a tour bus. Because the driver was clearly at fault, the owner of the bus, Roadrunner Tour- ing Company, paid her medical expenses (including a one-week stay in a hospital). To avoid a lawsuit, Roadrunner also transferred $90,000 to her in settlement of the personal injuries she sustained. The Deans had the following expenditures for 2020: Medical expenses (not covered by insurance) $7,200 Таxes— Property taxes on personal residence $3,600 State of New Mexico income tax (includes amount withheld from wages during 2020) 4,200 7,800 Interest on home mortgage (First National Bank) 6,000 Charitable contributions (cash) 3,600 Life insurance premiums (policy on Lance's life) 1,200 Contribution to traditional IRA (on Wanda's behalf) 6,000 Traffic fines 300 Contribution to the reelection campaign fund of the mayor of Santa Fe Funeral expenses for Wayne Boyle 500 6,300 The life insurance policy was taken out by Lance several years ago and desig- nates Wanda as the beneficiary. As a part-time employee, Wanda is excluded from coverage under her employer's pension plan. Consequently, she provides for her own retirement with a traditional IRA obtained at a local trust company. Because the mayor is a member of the local Chamber of Commerce, Lance felt compelled to make the political contribution. The Deans' household includes the following, for whom they provide more than half of the support: Social Security Number Birth Date Lance Dean (age 42) Wanda Dean (age 40) 123-45-6786 12/16/1978 123-45-6787 08/08/1980 Penny Allen (age 19) Kyle Allen (age 16) 123-45-6788 10/09/2001 123-45-6780 05/03/2004 Wayne Boyle (age 75) 123-45-6785 06/15/1945 Penny graduated from high school on May 9, 2020, and is undecided about college. During 2020, she earned $8,500 (placed in a savings account) playing a harp in the lobby of a local hotel. Wayne is Wanda's widower father who died on December 20, 2020. For the past few years, Wayne qualified as a dependent of the Deans. Federal income tax withheld is $3,900 (Lance) and $1,800 (Wanda). The proper amount of Social Security and Medicare tax was withheld. The Deans received the appropriate coronavirus recovery rebates (economic impact payments); related questions in ProConnect Tax should be ignored. Determine the Federal income tax for 2020 for the Deans on a joint return by completing the appropriate forms. They do not own and did not use any virtual currency during the year, and they do not want to contribute to the Presidential Election Campaign Fund. If an overpayment results, it is to be refunded to them. Suggested software: ProConnect Tax.
Expert Answer:
Answer rating: 100% (QA)
Tax computation Taxable income is computed on the basis ... View the full answer
Posted Date:
Students also viewed these accounting questions
-
Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a...
-
Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe,NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a...
-
Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a...
-
Research the Fisher-Yates shuffling algorithm online, then use it to reimplement the shuffle method in Fig.7.12. Fig.7.12 I // Fig. 7.12: DeckOfCards.java 2 // DeckOfCards class represents a deck of...
-
A scatter plot can reveal a relationship between two indicators. Construct a scatter plot of annual data beginning in 1959 for inflation and money growth. Measure these as the percent change from a...
-
The Lake Placid Town Council decided to build a new community center to be used for conventions, concerts, and other public events, but considerable controversy surrounds the appropriate size. Many...
-
Elisabeth and Philip are in partnership, sharing profits and losses in the ratio 2:1. The following trial balance was prepared as at 29 February 2008: The following matters relate to the partnership...
-
On January 1, 2013, Hi and Lois Company purchased 13% bonds, having a maturity value of $510,100, for $568,109.95. The bonds provide the bondholders with a 10% yield. They are dated January 1, 2013,...
-
Two popular brands of tires for tractor-trailers are the Puma and the Eternal. Kala is a buyer for a major shipping company and wants to estimate the difference between the mean distance (in...
-
1 Leila Bannon, your supervisor and a fellow CPA, has been invited to participate in a symposium on ethics in the workplace. This event will bring together professionals from different fields who...
-
A person with an ENTJ (Extrovert, Intuitive, Thinking and Judging) personality is said to possess the following characteristics: Frank, decisive, and a leader in activities Develops and implements...
-
Use AIG as an example to explain how insurance companies could present tremendous risks to Financial Intermediaries and the global financial system. What did the U.S. federal banking regulators do...
-
Calculate the average daily balance (in $) for October for a revolving credit account with a previous month's balance of $120 and the following activity. (Round your answer to the nearest cent.) Date...
-
14. Financial leverage impacts the performance of the firm by: * (2 Points) decreasing the volatility of the firm's EBIT. Maintaining the same level of volatility of the firm's EBIT. the volatility...
-
in c# convert the code below that uses Rational Methods to use Overloaded Operators. using System; /* 10.8 (Rational Numbers) Create a class called Rational for performing arithmetic with fractions....
-
Method 2We can determine the potential size of the target market utilizing a top-down method and the already available market data.The data presented estimates a $12.6 billion market for women's...
-
Translate this sentence into an equation. The sum of 24 and Vanessa's savings is 49. Use the variable v to represent Vanessa's savings. ?
-
g(x) = x 5 5x 6 a. Show that g(x) = 0 has a root, , between x = 1 and x = 2. b. Show that the equation g(x) = 0 can be written as x = (px + q) 1/r , where p, q and r are integers to be found. The...
-
Feng Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $42,300. The machines useful life is estimated at 10 years, or 363,000 units of...
-
In early January 2004, LabTech purchases computer equipment for $147,000 to use in operating ac tivities for the next four years. It estimates the equipments salvage value at $30,000. Prepare tables...
-
Cemer Manufacturing purchases a large lot on which an old building is located as part of its plans to build a new plant. The negotiated purchase price is $225,000 for the lot plus $120,000 for the...
Study smarter with the SolutionInn App