Howard Gartman is a 40% partner in the Honon & Gartman Parmership. During 2019, the parmership reponed
Question:
Howard Gartman is a 40% partner in the Honon & Gartman Parmership. During 2019, the parmership reponed the roral irems below (100%) on irs Form 1065:
Ordinary income ……………. $180,000
Qualified dividends ……………. 10,000
Long-term capital loss ……….. (12,000)
Long-term capital gain …..……. 28,000
Charitable contributions ………… 4,000
Cash distributions to partners … 150,000
Howard and his wife Dawn, who file a joint return, also had the following income and deductions from sources nor connected with the partnership:
Income | |
Dawn's salary | $400,000 |
Qualified dividends | 3,000 |
Deductions | |
Mongage interest | 12,000 |
Real estate taxes | 5,800 |
Charitable contributions | 3,000 |
Howard and Dawn have two children. During 2019, Dawn had $4,500 in federal income taxes withheld from her salary and Howard made four estimated tax pay-ments of $2,500 each ($10,000 total). Compute Howard and Dawn's Federal income tax liability for 2019 and whether they have a balance due or a tax refund. Ignore the child tax credits.
Step by Step Answer:
Federal Taxation 2020 Comprehensive
ISBN: 9780135196274
33rd Edition
Authors: Timothy J. Rupert, Kenneth E. Anderson, David S. Hulse