Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2019: Gross receipts $ 203,000 Business mileage: 27,000 (miles incurred ratably throughout the year) 35,000 miles total during the year 2019 Van (over 6,000 lbs) placed in service 1/01/19, cost 27,000 Postage (500 ) Wages (26,000 ) Payroll taxes (1,950 ) Supplies (12,500 ) Phone (1,250 ) Internet service (600 ) Rent (2,400 ) Insurance (2,800 ) Van expenses (4,500 ) Business assets Date Purchased Cost Computer 1 5/18/19 $ 2,200 Computer 2 6/01/19 2,700 Printer 3/01/18 900 Copier 3/02/18 2,100 Furniture 3/01/18 6,000 Required: Determine Cassis self-employment income and QBI deduction. Prepare Schedule C and Schedule SE. 179 expense is elected on all eligible assets ( 179 was not taken on assets purchased last year)

Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2019: $ 203,000 Gross receipts Business mileage: 27,000 (miles incurred ratably throughout the year) 35,000 miles total during the year 2019 Van (over 6,000 lbs) placed in service 1/01/19, cost 27,000 Postage Wages Payroll taxes Supplies Phone Internet service Rent Insurance Van expenses (500) (26,000) (1,950) (12,500) (1,250) (600) (2,400) (2,800) (4,500) Business assets Computer 1 Computer 2 Printer Copier Furniture Date Purchased 5/18/19 6/01/19 3/01/18 3/02/18 3/01/18 Cost $2,200 2,700 900 2,100 6,000 Required: Determine Cassi's self-employment income and QBI deduction. Prepare Schedule C and Schedule SE. 179 expense is elected on all eligible assets ($ 179 was not taken on assets purchased last year). (Use Table 6A-1) (Input all the values as positive numbers. Use Rounded values for tax computation. Do not round other intermediate computations. Round your final answers to nearest whole dollar.) Schedule C page 1 and Schedule SE page 1 for a single taxpayer. Schedule C QBI Schedule SE Form 4562 P1 Form 4562 P2 Page 1 of Schedule C. Please enter the information of the taxpayer whom this form pertains to. OMB No. 1545-0074 SCHEDULEC (Form 1040 or 1040-SR) Department of the Treasury Internal Revenue Service (99) Profit or Loss From Business (Sole Proprietorship) Go to www.irs.gov/Schedule for instructions and the latest information. Attach to Form 1040, 1040SR, 1040NR, or 1041; partnerships generally must file Form 1065. 2019 Name of proprietor Attachment Sequence No. 09 Social security number (Enter as XXX-XX-XXXX) 412-34-5670 B Enter code from instructions Cassi A Principal business or profession, including product or service (see instructions) Home Cleaning C Business name. If no separate business name, leave blank D Employer ID number (EIN), (see instr.) Yes No Yes No Yes No 1 2 3 4 0 0 5 0 6 7 0 Part II 18 19 20a 20b 21 E Business address (including suite or room no.) City, town or post office, state, and ZIP code F Accounting method: (1) Cash (2) Accrual (3) Other (specify) G Did you 'materially participate in the operation of this business during 2019? If "No," see instructions for limit on losses H If you started or acquired this business during 2019, check here I Did you make any payments in 2019 that would require you to file Formis) 10997 (see instructions) JIf "Yes," did you or will you file required Forms 1099? Parti Income 1 Gross receipts or sales. See instructions for line 1 and check the box if this income was reported to you on Form W-2 and the "Statutory employee" box on that form was checked 2 Retums and allowances 3 Subtract line 2 from line 1 4 Cost of goods sold (from line 42) 5 Gross profit. Subtract line 4 from line 3 6 Other income, including federal and state gasoline or fuel tax credit or refund (see instructions) 7 Gross income. Add lines 5 and 6 Expenses. Enter expenses for business use of your home only on line 30. 8 Advertising 8 18 Office expense (see instructions) 9 Car and truck expenses (see 19 Pension and profit-sharing plans Instructions) 9 20 Rent or lease (see instructions) 10 Commissions and fees 10 a Vehicles, machinery, and equipment 11 Contract labor (soo instructions) 11 b Other business property 12 Depletion 12 21 Repairs and maintenance 13 Depreciation and section 179 22 Supplies (not included in Part III) expense deduction (not included 23 Taxes and licenses in Part III) (see instructions) 13 24 Travel, meals: 14 Employee benefit programs a Travel (other than on line 19) 14 b Deductible meals 15 Insurance (other than health) 15 (see instructions) 16 Interest (see Instructions): 25 Utilities a a Mortgage paid to banks, etc.) 16a 26 Wages (less employment credits) b Other 16b 27a Other expenses (from line 48) 17 Legal and professional services 17 b Reserved for future use 28 Total expenses before expenses for business use of home. Add lines 8 through 27a 29 Tentative profit or loss). Subtract line 28 from line 7 30 Expenses for business use of your home. Do not report these expenses elsewhere. Attach Form 8829 unless using the simplified method (see instructions). Simplified method filers only: enter the total square footage of (a) your home: and (b) the part of your home used for business: Use the Simplified Method Worksheet in the instructions to figure the amount to enter on line 30 31 Net profit or loss). Subtract line 30 from line 29. If a profit, enter on both Schedule 1 (Form 1040 or 1040-SR), line 3 (or Form 1040-NR, line 13) and on Schedule SE, line 2. (If you checked the box on line 1, see instructions), Estates and trusts, enter on Form 1041, line 3 If a loss, you must go to line 32 32 If you have a loss, check the box that describes your investment in this activity (see instructions). If you checked 32a, enter the loss on both Schedule 1 (Form 1040 or 1040-SR), line 3 (or Form 1040-NR, line 13) and on Schedule SE, line 2. (If you checked the box on line 1. see the line 31 instructions). Estates and trusts, enter on Form 1041, line 3 22 23 24a 24b 25 26 27a 27b 28 0 29 0 30 31 0 32a All investment is at risk 32b Some investment is not at risk Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2019: $ 203,000 Gross receipts Business mileage: 27,000 (miles incurred ratably throughout the year) 35,000 miles total during the year 2019 Van (over 6,000 lbs) placed in service 1/01/19, cost 27,000 Postage Wages agos Payroll taxes Supplies Phone Internet service Rent Insurance Van expenses (500) (26,000) (1,950) (12,500) (1,250) (600) (2,400) (2,800) (4,500) Business assets Computer 1 Computer 2 Printer Copier Furniture Date Purchased 5/18/19 6/01/19 3/01/18 3/02/18 3/01/18 Cost $2,200 2,700 900 2,100 6,000 Required: Determine Cassi's self-employment income and QBI deduction. Prepare Schedule C and Schedule SE. $ 179 expense is elected on all eligible assets ($ 179 was not taken on assets purchased last year). (Use Table 6A-1) (Input all the values as positive numbers. Use Rounded values for tax computation. Do not round other intermediate computations. Round your final answers to nearest whole dollar.) Schedule C page 1 and Schedule SE page 1 for a single taxpayer. Schedule C QBI Schedule SE Form 4562 P1 Form 4562 P2 Qualified Business Income deduction (QBI) The Qualified Businees Income deduction (QBI) is Half-Year Convention Recovery Year 3-Year 5-Year 7-Year TABLE 6A-1 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* 10-Year 15-Year 20-Year 33.33 44.45 14.81 7.41 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 8.93 8.92 8.93 4.46 10.00 18.00 14.40 11.52 9.22 7.37 6.55 6.55 6.56 6.55 3.28 5.00 9.50 8.55 7.70 6.93 6.23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 5.90 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 2.95 3.750 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231 * May not be used for farm business property generally placed in service after 1988. See Table 14, Rev. Proc. 87-57, 1987-2 CB 687. Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2019: $ 203,000 Gross receipts Business mileage: 27,000 (miles incurred ratably throughout the year) 35,000 miles total during the year 2019 Van (over 6,000 lbs) placed in service 1/01/19, cost 27,000 Postage Wages Payroll taxes Supplies Phone Internet service Rent Insurance Van expenses (500) (26,000) (1,950) (12,500) (1,250) (600) (2,400) (2,800) (4,500) Business assets Computer 1 Computer 2 Printer Copier Furniture Date Purchased 5/18/19 6/01/19 3/01/18 3/02/18 3/01/18 Cost $2,200 2,700 900 2,100 6,000 Required: Determine Cassi's self-employment income and QBI deduction. Prepare Schedule C and Schedule SE. 179 expense is elected on all eligible assets ($ 179 was not taken on assets purchased last year). (Use Table 6A-1) (Input all the values as positive numbers. Use Rounded values for tax computation. Do not round other intermediate computations. Round your final answers to nearest whole dollar.) Schedule C page 1 and Schedule SE page 1 for a single taxpayer. Schedule C QBI Schedule SE Form 4562 P1 Form 4562 P2 Page 1 of Schedule C. Please enter the information of the taxpayer whom this form pertains to. OMB No. 1545-0074 SCHEDULEC (Form 1040 or 1040-SR) Department of the Treasury Internal Revenue Service (99) Profit or Loss From Business (Sole Proprietorship) Go to www.irs.gov/Schedule for instructions and the latest information. Attach to Form 1040, 1040SR, 1040NR, or 1041; partnerships generally must file Form 1065. 2019 Name of proprietor Attachment Sequence No. 09 Social security number (Enter as XXX-XX-XXXX) 412-34-5670 B Enter code from instructions Cassi A Principal business or profession, including product or service (see instructions) Home Cleaning C Business name. If no separate business name, leave blank D Employer ID number (EIN), (see instr.) Yes No Yes No Yes No 1 2 3 4 0 0 5 0 6 7 0 Part II 18 19 20a 20b 21 E Business address (including suite or room no.) City, town or post office, state, and ZIP code F Accounting method: (1) Cash (2) Accrual (3) Other (specify) G Did you 'materially participate in the operation of this business during 2019? If "No," see instructions for limit on losses H If you started or acquired this business during 2019, check here I Did you make any payments in 2019 that would require you to file Formis) 10997 (see instructions) JIf "Yes," did you or will you file required Forms 1099? Parti Income 1 Gross receipts or sales. See instructions for line 1 and check the box if this income was reported to you on Form W-2 and the "Statutory employee" box on that form was checked 2 Retums and allowances 3 Subtract line 2 from line 1 4 Cost of goods sold (from line 42) 5 Gross profit. Subtract line 4 from line 3 6 Other income, including federal and state gasoline or fuel tax credit or refund (see instructions) 7 Gross income. Add lines 5 and 6 Expenses. Enter expenses for business use of your home only on line 30. 8 Advertising 8 18 Office expense (see instructions) 9 Car and truck expenses (see 19 Pension and profit-sharing plans Instructions) 9 20 Rent or lease (see instructions) 10 Commissions and fees 10 a Vehicles, machinery, and equipment 11 Contract labor (soo instructions) 11 b Other business property 12 Depletion 12 21 Repairs and maintenance 13 Depreciation and section 179 22 Supplies (not included in Part III) expense deduction (not included 23 Taxes and licenses in Part III) (see instructions) 13 24 Travel, meals: 14 Employee benefit programs a Travel (other than on line 19) 14 b Deductible meals 15 Insurance (other than health) 15 (see instructions) 16 Interest (see Instructions): 25 Utilities a a Mortgage paid to banks, etc.) 16a 26 Wages (less employment credits) b Other 16b 27a Other expenses (from line 48) 17 Legal and professional services 17 b Reserved for future use 28 Total expenses before expenses for business use of home. Add lines 8 through 27a 29 Tentative profit or loss). Subtract line 28 from line 7 30 Expenses for business use of your home. Do not report these expenses elsewhere. Attach Form 8829 unless using the simplified method (see instructions). Simplified method filers only: enter the total square footage of (a) your home: and (b) the part of your home used for business: Use the Simplified Method Worksheet in the instructions to figure the amount to enter on line 30 31 Net profit or loss). Subtract line 30 from line 29. If a profit, enter on both Schedule 1 (Form 1040 or 1040-SR), line 3 (or Form 1040-NR, line 13) and on Schedule SE, line 2. (If you checked the box on line 1, see instructions), Estates and trusts, enter on Form 1041, line 3 If a loss, you must go to line 32 32 If you have a loss, check the box that describes your investment in this activity (see instructions). If you checked 32a, enter the loss on both Schedule 1 (Form 1040 or 1040-SR), line 3 (or Form 1040-NR, line 13) and on Schedule SE, line 2. (If you checked the box on line 1. see the line 31 instructions). Estates and trusts, enter on Form 1041, line 3 22 23 24a 24b 25 26 27a 27b 28 0 29 0 30 31 0 32a All investment is at risk 32b Some investment is not at risk Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2019: $ 203,000 Gross receipts Business mileage: 27,000 (miles incurred ratably throughout the year) 35,000 miles total during the year 2019 Van (over 6,000 lbs) placed in service 1/01/19, cost 27,000 Postage Wages agos Payroll taxes Supplies Phone Internet service Rent Insurance Van expenses (500) (26,000) (1,950) (12,500) (1,250) (600) (2,400) (2,800) (4,500) Business assets Computer 1 Computer 2 Printer Copier Furniture Date Purchased 5/18/19 6/01/19 3/01/18 3/02/18 3/01/18 Cost $2,200 2,700 900 2,100 6,000 Required: Determine Cassi's self-employment income and QBI deduction. Prepare Schedule C and Schedule SE. $ 179 expense is elected on all eligible assets ($ 179 was not taken on assets purchased last year). (Use Table 6A-1) (Input all the values as positive numbers. Use Rounded values for tax computation. Do not round other intermediate computations. Round your final answers to nearest whole dollar.) Schedule C page 1 and Schedule SE page 1 for a single taxpayer. Schedule C QBI Schedule SE Form 4562 P1 Form 4562 P2 Qualified Business Income deduction (QBI) The Qualified Businees Income deduction (QBI) is Half-Year Convention Recovery Year 3-Year 5-Year 7-Year TABLE 6A-1 General Depreciation System: 200% or 150% Declining Balance Switching to Straight-Line* 10-Year 15-Year 20-Year 33.33 44.45 14.81 7.41 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 8.93 8.92 8.93 4.46 10.00 18.00 14.40 11.52 9.22 7.37 6.55 6.55 6.56 6.55 3.28 5.00 9.50 8.55 7.70 6.93 6.23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 5.90 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 2.95 3.750 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231 * May not be used for farm business property generally placed in service after 1988. See Table 14, Rev. Proc. 87-57, 1987-2 CB 687