Daniel B Butler and Freida C. Butler, husband and wife, file a joint return. The butlers live at 625 Oak Street in Corbin, KY 40701. Dan's Social Security number is 111-11-1112, and Freida's is 123-45-6789. Dan was born on January 15, 1966, and Freida was born on August 20, 1967. During 2017, Dan and Freida furnished over half of the total support of each of the following individuals, all of whom still live at home a) Gina, their daughter, age 22, a full-time college student, has no income of her own. Gina's Social Security number is 123-45-6788. b) Sam, their son, age 20, who had gross income of $6,300 in 2017. He graduated from high school on May 15th 2017, Started College on August 21st 2017, then dropped out of college in September 2017. Sam's Social Security number is 123-45-6787 c) Ben, their oldest son, age 26, is a full-time graduate student with gross income of $5,200. Ben's Social Security number is 123-45-6786 Dan was employed as a manager by WJJJ, Inc. (employer identification number 11- 1111111, 604 Franklin street, Corbin, KY 40702), and Freida was employed as a salesperson for Corbin Realty, Inc. (employer identification number 98-7654321, 899 Central Street, Corbin, KY 40701). Selected information from the W-2 Forms provided by the employers is presented below. Dan and Freida use the cash method. Freida $81,000 11,400 3,040 Line Description an Wages, tips, other compensation Federal income tax withheld State income tax withheld $71,000 11,000 2,560 17 Freida sold a house (as part of her job as a real estate agent) on December 30,2017, and will be paid a commission of $3,100 (not included in the $81,000 reported on the W-2) on the January 10,2018 closing date. Before marrying Freida, Dan was married and divorced to Sarah. Dan and Sarah have a daughter together; Sarah has custody of this child and claims her as a dependent. Under the divorce agreement, Dan is to pay Sarah $500 per month in alimony and $200 in child support ($700 in total per month). Dan timely made his $700 payment to Sarah each month, except for December. Dan's December payment was late, and paid in January of 2018. The Butlers also had: (1) $1,600 in interest income from their savings account (2) Sale of ABC stock on 8/15/2017 for $10,000 (originally purchased for $4,000 on 1/15/2013) (3) Sale of XYZ stock on 10/15/2017 for $3,000 (originally purchased for $4,000 on 12/15/2016) (4) Sale of a boat on 5/15/2017 for $10,000 used for personal recreation Coriginally purchased for $20,000 on 6/15/2012) (5) Interest on the Butlers personal residence is $4,000 (Assume this is tax deductible) (6) The Butlers paid $2,400 in property taxes on their primary residence (7) The Butlers made a $3,000 cash contribution to a qualified charitable organization Daniel B Butler and Freida C. Butler, husband and wife, file a joint return. The butlers live at 625 Oak Street in Corbin, KY 40701. Dan's Social Security number is 111-11-1112, and Freida's is 123-45-6789. Dan was born on January 15, 1966, and Freida was born on August 20, 1967. During 2017, Dan and Freida furnished over half of the total support of each of the following individuals, all of whom still live at home a) Gina, their daughter, age 22, a full-time college student, has no income of her own. Gina's Social Security number is 123-45-6788. b) Sam, their son, age 20, who had gross income of $6,300 in 2017. He graduated from high school on May 15th 2017, Started College on August 21st 2017, then dropped out of college in September 2017. Sam's Social Security number is 123-45-6787 c) Ben, their oldest son, age 26, is a full-time graduate student with gross income of $5,200. Ben's Social Security number is 123-45-6786 Dan was employed as a manager by WJJJ, Inc. (employer identification number 11- 1111111, 604 Franklin street, Corbin, KY 40702), and Freida was employed as a salesperson for Corbin Realty, Inc. (employer identification number 98-7654321, 899 Central Street, Corbin, KY 40701). Selected information from the W-2 Forms provided by the employers is presented below. Dan and Freida use the cash method. Freida $81,000 11,400 3,040 Line Description an Wages, tips, other compensation Federal income tax withheld State income tax withheld $71,000 11,000 2,560 17 Freida sold a house (as part of her job as a real estate agent) on December 30,2017, and will be paid a commission of $3,100 (not included in the $81,000 reported on the W-2) on the January 10,2018 closing date. Before marrying Freida, Dan was married and divorced to Sarah. Dan and Sarah have a daughter together; Sarah has custody of this child and claims her as a dependent. Under the divorce agreement, Dan is to pay Sarah $500 per month in alimony and $200 in child support ($700 in total per month). Dan timely made his $700 payment to Sarah each month, except for December. Dan's December payment was late, and paid in January of 2018. The Butlers also had: (1) $1,600 in interest income from their savings account (2) Sale of ABC stock on 8/15/2017 for $10,000 (originally purchased for $4,000 on 1/15/2013) (3) Sale of XYZ stock on 10/15/2017 for $3,000 (originally purchased for $4,000 on 12/15/2016) (4) Sale of a boat on 5/15/2017 for $10,000 used for personal recreation Coriginally purchased for $20,000 on 6/15/2012) (5) Interest on the Butlers personal residence is $4,000 (Assume this is tax deductible) (6) The Butlers paid $2,400 in property taxes on their primary residence (7) The Butlers made a $3,000 cash contribution to a qualified charitable organization