1- You will be working complete an individual income tax return. Use 2016 forms only. J Canyon Corporation, an S-corporation, is owned 50% each by Sally Taxpayer and Nathaniel Foosballoser. The entity reports the following items for 2016: J 4J 4J $ 600,000.: 3 Cost of Goods Sold4-'l 200 000iJ '3 Interest income on savings accountsail 3,000cJ '3 J J J _J J _J J 'J J _J _'J 'J J Dividends ua]if1ed)4'l 6,000cJ '3 Cash distributions to shareholdersail 20 000iJ '3 Individual taxpayer information J 1. Form 1040(0NLY)4J 4J Canyon Corporation's tax ID number is 86-12345 67, the address is 3300 E. Camelback Road, Chandler, AZ 85048. The business code is: 454390. The selection was effective 1/1/2014. The business was incorporated on 12/20/2013. Eagle Corporation uses the accrual method and sells clothing. Answer no to all questions on page 2. Note: do not complete Schedules L and M1. J 4J Sally Taxpayer lives in Gilbert, Arizona. Her address is 13422 E. Downers Street, Gilbert, AZ 85037. Her social security number is 456123789. She is married but does not have any dependents for the 2016 tax year. Her husband's name is Daniel Taxpayer and his social security number is 123-45-6789. J _| 3. Additional information to complete the tax returns: J 4J a. h. F\" P\"? 5'\" Daniel works at Intel Corporation and earned $160,000 during 2016. J His federal tax withholding was $50,000 and his Arizona income taxes withheld were $9,000. Sally made federal estimated tax payments of $50,000 and Arizona estimated payments of $9,500J Mortgage interest on their personal residence was $15,200 and property taxes were $5,150. J Additional charitable contributions of $2,750 were paid during the year. J Daniel had $6,600 of unreimbursed employee expenses during the year. J On July 10, 2016 they sold 100 shares of Intel Corporation stock for $70 per share. They purchased the stock on May 1, 2012 for $56 per share. J The Taxpayer's have a long-term capital loss carry forward of $4,400. J Assume AMT does not apply. J Apply any refund to estimated tax payments for the next year. J