Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Cassi Taxpayer (SSN 412-34-5670) who is single, has a home cleaning business she runs as a sole proprietorship. The following are the results from business

Cassi Taxpayer (SSN 412-34-5670) who is single, has a home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2014:

Gross receipts $203,000
Business mileage: 27,000 (miles incurred ratably throughout the year) 35,000 miles total during the year 2014
Van (over 6,000 lbs) placed in service 1/01/14, 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 5/18/14 $2,200
Computer 2 6/01/14 2,700
Printer 3/01/13 900
Copier 3/02/13 2,100
Furniture 3/01/13 6,000

Determine Cassis self-employment income and prepare Schedule C and Schedule SE. 179 expense is elected on all eligible assets ( 179 was not taken on assets purchased last year).

What amount The Qualified Business Income deduction?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing The ISM

Authors: Mr. Ajoy Chatterjee

3rd Edition

8190233041, 978-8190233040

More Books

Students also viewed these Accounting questions