Question
Beth R. Jordan lives at 2322 Skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manufacturing Company, 1203 Western Avenue, Mesa, AZ
Beth R. Jordan lives at 2322 Skyview Road, Mesa, AZ 85201. She is a tax accountant with Mesa Manufacturing Company, 1203 Western Avenue, Mesa, AZ 85201 (Employer Identification Number 11-1111111). She also writes computer software programs for tax practitioners and has a part-time tax practice. Beth is single and has no dependents. Beth was born July 4. 1972, and her Social Security number is 123-45-6789- She wants to contribute $3 to the Presidential Election Campaign Fund. The following information is shown on Beth's 2019 Wage and Tax Statement (Form W-2). Line Description Amount 1 Wages, tips, other Compensation $65,000 2 Federal income tax withheld $10,500 3 Social Security wages $65,000 4 Social Security tax withheld $4,030 5 Medicare wages and tips $65,000 6 Medicare tax withheld $942.50 15 State Arizona 16 State wages, tips, etc. $65,000 17 State income tax withheld $1,954.00 Other 2019 transactions include the following. Beth received interest of $1,300 from Arizona Federal Savings and Loan and $400 from Arizona State Bank. Each financial institution reported the interest income on a Form 1099-INT. She received qualified dividends of $800 from Blue Corporation, $750 from Green Corporation, and $650 from Orange Corporation. Each corporation reported Beth's dividend payments on a Form 1099-DIV. Beth received a $1,100 income tax refund from the state of Arizona on April 29, 2019. On her 2018 Federal income tax return, she reported total itemized deductions of $8,200, which included $2,200 of state income tax withheld by her employer. Fees earned from her part-time tax practice totaled $3,800. She paid $600 to have the tax returns processed by a computerized tax return service. On February 8, Beth bought 500 shares of Gray Corporation common stock for $17.60 a share. On September 12, Beth sold the stock for $14 a share. Beth bought a used sport utility vehicle for $6,000 on June 5. She purchased the vehicle from her brother-in-law, who was unemployed and was in need of cash. On November 2, she sold the vehicle to a friend for $6,500. On January 2, Beth acquired 100 shares of Blue Corporation common stock for $30 a share. She sold the stock on December 19 for S55 a share. Beth recorded revenues of $16,000 from the sale of a software program she developed. Beth incurred the following expenditures in connection with her software development business. Cost of personal computer (100% business use) $7,000 Cost of printer (100% business use) 2,000 Furniture 3,000 Supplies 650 Fee paid to computer consultant 3,500 Beth elected to deduct the maximum portion of the cost of the computer, printer, and furniture allowed under the provisions of 179. These items were placed in service on January 15 and used 100 percent in her business. Although her employer suggested that Beth attend a convention on current developments in corporate taxation, Beth was not reimbursed for the travel expenses of $1,420 she incurred in attending the conference. The $1,420 included $200 for business meals. Beth paid $300 for prescription medicines and $2,875 in physician and hospital bills. Medical insurance premiums were paid by her employer. Beth paid real property taxes of $1,766 on her home. Interest on her home mortgage at Valley National Bank was $3,845, and interest paid to cred card companies totaled $320. Beth contributed $2,080 to various qualified charities during the year. Professional dues and subscriptions totaled $350. Beth paid $1,000 in estimated Federal income taxes throughout the year. She was covered for the entire year by Mesa Manufacturing's health insurance policy. Compute the 2019 net tax payable or refund due for Beth R. Jordan. Forms to use - 1040, Schedules A, B, C, D, SE, 4562, 1-5 (if necessary). Other forms may be necessary. Please fill in the forms for the answers as this is vital for the problem.
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