Question
Bart and Elizabeth Forrest are married and have no dependents. They have asked you to advise them whether they should file jointly or separately in
Bart and Elizabeth Forrest are married and have no dependents. They have asked you to advise them whether they should file jointly or separately in 2017. They present you with the following information:
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If they file separately, Bart and Elizabeth will split the real estate tax and mortgage interest deductions equally.
If an amount is zero, enter "0". Do not round your intermediate computations and round your final answers to the nearest dollar.
a. Complete the comparison table through AGI, then compute the total amount of the itemized deductions on the separate schedule before completing the remainder of the table.
Bart and Elizabeth Forrest Comparison of Joint and Separate Tax Liabilities Tax Year 2017
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b. Complete Barts Schedule A for 2017. Assume that Bart and Elizabeth file separate returns. Barts Social Security number is 123-45-6789
c. Complete the letter to Bart and Elizabeth.
January 23, 2018 |
Mr. and Mrs. Bart Forrest 2003 Highland Drive Durham, NC 27707 |
Dear Mr. and Mrs. Forrest: |
I have reviewed the tax information you provided and have determined that you will save $( ) in Federal income tax if you file ( ) for 2017. A detailed computation that supports my conclusion is enclosed. |
Please let me know if you have any question or would like to discuss my recommendation in further detail. Thank you for consulting our firm on this matter. We look forward to serving you in the future. |
Sincerely, |
Rodney Rodriguez, CPA Partner |
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