Question
David and Darlene Jasper have one child, Sam, who is 6 years old. The Jaspers reside at 4639 Honeysuckle Lane, Los Angeles, CA 90248. Davids
David and Darlene Jasper have one child, Sam, who is 6 years old. The Jaspers reside at 4639 Honeysuckle Lane, Los Angeles, CA 90248. Davids Social Security number is 577-11-3311, Darlenes is 477-98-4731, and Sams is 589-22-1142. David's birthdate is May 29, 1984 and Darline's birthday is January 31,1986. David and Darlenes earnings and withholdings for 2017 are: David: Earnings from Apple Company (office manager) $26,250 Federal income tax withheld 2,800 State income tax withheld 1,050 Darlene: Earnings from Rose Company (perfume tester) $25,175 Federal income tax withheld 2,650 State income tax withheld 916 Their other income includes interest from Pine Tree Savings and Loan of $1,835. Other information and expenditures for 2017 are as follows: Interest: On home acquisition mortgage $11,175 Credit card 925 Taxes: Property taxes on personal residence 1,300 State income taxes paid in 2017 (for 2016) 315 Contribution (with written acknowledgement) to church 1,020 Medical insurance 675 Medical and dental expenses 5,785 Income tax return preparation fee paid in 2017 200 Actual general state sales tax for 2017 1,016 Payment of union dues 225 Child care for Sam (incurred when both David and Darlene were working) 3,500 In 2017, David lost his job. David paid for one month of insurance out-of-pocket and then the family went without insurance for September through December 2017. They are not eligible for any exemptions from health care coverage. Required: Complete the Jaspers federal tax return for 2017. Use Form 1040, Schedule A, Schedule B, Form 2441, and the Shared Responsibility Payment Worksheet and the Flat Dollar Amount Worksheet. Make realistic assumptions about any missing data.
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