Assignment 5 Comprehensive Tax Return To complete this assignment, read the information below and then complete the 2021 individual Federal income tax return for Kevin and Jim by hand (this means hand written numbers in the forms). You will need the following forms: 1040, Schedules A and B and Form 8283, if necessary. You should use 2021 tax forms and rates (you must use the tax rate tables to find the tax due). Last year they filed as married filing jointly This assignment may be completed individually, or with one other student. If completed with another student, please put both students' names on the assignment and turn in one document. If you have extenuating circumstances, please let me know with ample time before the deadline so we can make alternate arrangements. This assignment must be scanned and submitted to the class dropbox on Canvas prior to the due date. Outside of extenuating circumstances, late projects will have 5% deducted from the grade for each day beyond the due date, up to a maximum of 20% deduction. Projects will not be accepted after the final exam, at which point final grades will be calculated. In addition to the tax forms, also include a formal memo (typed) to the taxpayers in which you explain very generally how you computed their tax, any assumptions you made or questions you would have liked to know the answers to, and any planning advice you would recommend going forward. The memo can be in any format and should be less than a page long, but more than a few sentences. This is the type of email or letter that would accompany your final deliverable to the client. You will also need to include some statements that link any calculated amount in the tax forms to a statement showing what went into the calculation. example of statements will be provided with the solutions to Assignment 4. FACTS This is information relating to Kevin and Jim Jones for 2021. Kevin and Jim are married and have 2 adopted children, Aubrynne (a girl) and Bryson (a boy). They live at 236 9th Ave., New York, NY 10011 Kevin is a lawyer who works for a law firm. Jim works part time in a genetic research lab. The Jones' Social Security numbers and ages are as follows: Kevin 111-11-1111 32 Jim 222-22-2222 28 Aubrynne 333-33-3333 5 Bryson 444-44-4444 Receipts Kevin's salary Jim's salary $100,000 37.000 2,850 Municipal bond interest Interest on C.D.s at Universal Savings 3,700 *Qualified dividend on GM stock 1,800 *Qualified dividends should be reported as both qualified and ordinary on the tax forms. Expenditures 700 2,350 Eye exam and eyeglasses for Aubrynne Orthodontic work to correct Bryson's congenital defect Medical insurance premiums (paid on an after-tax basis) State withholding for income tax 2,250 9,750 Federal withholding for income tax 16,000 650 State income taxes paid with last year's return Property tax on condo 1,200 450 Ad valorem Property tax on automobile Home mortgage interest 10,900 Interest on credit cards 300 Cash contribution to Oregon Meditation center Cash contribution to a senator's campaign 4,300 1,600 Charitable donation of stock On September 17, Kevin and Jim donated Beta Trade Inc. stock to Portland State University Accounting Scholarship Fund. Beta Trader, Inc. is publicly traded. Kevin and Jim had purchased the sock on November 7, 2004 for $350. On the date of donation, the fair market value of the contribution is $1000. Miscellaneous The taxpayers did not have signature authority over a foreign bank account. The taxpayers did not receive a distribution from a foreign trust. You do not need to complete any state tax returns. Do not worry about Alternative Minimum Tax (AMT). Assignment 5 Comprehensive Tax Return To complete this assignment, read the information below and then complete the 2021 individual Federal income tax return for Kevin and Jim by hand (this means hand written numbers in the forms). You will need the following forms: 1040, Schedules A and B and Form 8283, if necessary. You should use 2021 tax forms and rates (you must use the tax rate tables to find the tax due). Last year they filed as married filing jointly This assignment may be completed individually, or with one other student. If completed with another student, please put both students' names on the assignment and turn in one document. If you have extenuating circumstances, please let me know with ample time before the deadline so we can make alternate arrangements. This assignment must be scanned and submitted to the class dropbox on Canvas prior to the due date. Outside of extenuating circumstances, late projects will have 5% deducted from the grade for each day beyond the due date, up to a maximum of 20% deduction. Projects will not be accepted after the final exam, at which point final grades will be calculated. In addition to the tax forms, also include a formal memo (typed) to the taxpayers in which you explain very generally how you computed their tax, any assumptions you made or questions you would have liked to know the answers to, and any planning advice you would recommend going forward. The memo can be in any format and should be less than a page long, but more than a few sentences. This is the type of email or letter that would accompany your final deliverable to the client. You will also need to include some statements that link any calculated amount in the tax forms to a statement showing what went into the calculation. example of statements will be provided with the solutions to Assignment 4. FACTS This is information relating to Kevin and Jim Jones for 2021. Kevin and Jim are married and have 2 adopted children, Aubrynne (a girl) and Bryson (a boy). They live at 236 9th Ave., New York, NY 10011 Kevin is a lawyer who works for a law firm. Jim works part time in a genetic research lab. The Jones' Social Security numbers and ages are as follows: Kevin 111-11-1111 32 Jim 222-22-2222 28 Aubrynne 333-33-3333 5 Bryson 444-44-4444 Receipts Kevin's salary Jim's salary $100,000 37.000 2,850 Municipal bond interest Interest on C.D.s at Universal Savings 3,700 *Qualified dividend on GM stock 1,800 *Qualified dividends should be reported as both qualified and ordinary on the tax forms. Expenditures 700 2,350 Eye exam and eyeglasses for Aubrynne Orthodontic work to correct Bryson's congenital defect Medical insurance premiums (paid on an after-tax basis) State withholding for income tax 2,250 9,750 Federal withholding for income tax 16,000 650 State income taxes paid with last year's return Property tax on condo 1,200 450 Ad valorem Property tax on automobile Home mortgage interest 10,900 Interest on credit cards 300 Cash contribution to Oregon Meditation center Cash contribution to a senator's campaign 4,300 1,600 Charitable donation of stock On September 17, Kevin and Jim donated Beta Trade Inc. stock to Portland State University Accounting Scholarship Fund. Beta Trader, Inc. is publicly traded. Kevin and Jim had purchased the sock on November 7, 2004 for $350. On the date of donation, the fair market value of the contribution is $1000. Miscellaneous The taxpayers did not have signature authority over a foreign bank account. The taxpayers did not receive a distribution from a foreign trust. You do not need to complete any state tax returns. Do not worry about Alternative Minimum Tax (AMT)