Directions Using the tax software, complete the tax retum, including Form 1040 and all appropri- ate forms, schedules, or worksheets Answer the questions following the scenario Note: When entering Social Security numbers (SSNS) or Employer Identification Numbers (EINS), replace the Xs as directed, or with any four digits of your choice. Interview Notes Cynthia is an electrician, age 29, and single. Cynthia has investment income and has a consolidated broker's statement Cynthia began a cleaning service business in 2020. She was paid on Form 1099- NEC for 2021. She also received additional cash receipts of 400 not reported on the Form 1099-NEC Cynthia uses the cash method of accounting. She uses business code 561720. Cynthia has receipts for the following expenses: $350 for cleaning supplies I $225 for business cards $450 for a mop, broom, and vacuum cleaner $150 for work gloves $125 for lunches $175 for work clothes suitable for everyday use Cynthia has a detailed mileage log reporting for 2021: Mileage from her home to her first client's home and mileage from her last client's home to her home - 750 miles In addition, on the days Cynthia worked for multiple clients, she kept track of the mileage from the first client's home to the second client's home in case that mileage was also deductible. She logged 450 miles (not included in the 750 miles) The total mileage on her car for tax year 2021 was 11,200 miles. Of that, 10,000 were personal miles. She placed her only vehicle, a pick-up truck, in service on 3/15/2020. Cynthia will take the standard mileage rate. Cynthia took an early distribution from her IRA in April to pay off her educational Cynthia is paying off her student loan from 2018. Cynthia is working towards her Master of Business Administration (MBA) degree. She took a few college courses this year at an accredited college expenses Cynthia purchased urance for her through the marketplace and as a Form 10.A Oyntia refund, she would like it deposed to her checking account Cynthias received the third Economic at Payment (E1P3in the amount of 1.400 2021 SOCIAL SEARITY 419-00-XXXX Cynthia Simon Cynthin Simon um 136146 IMA Intake interview & Quality Review Sheet 4 WS de w Lame M LU AO AW TOUR Yamo FRESH KORT Lawy w X YD DYN w Cleaner . MO 2001 - Or La De warya what you TUR 13814 des Check beforenin Yes No uwure Parti comel Year, Did You for Your Race O Worwo Wyeshow many did you have lost you? D ZA Theme 3.B) Schi? (Fom W2 100-T) 4 SOM from the band CO 2.7m 100-INT10000) Rind of comform 100) Amony complementenance pays? 7.) Self-Employment come from MBC, NEC, cash, por ser & Chickets, or for any performed on For W-20 10077 I come from the sale orange of conductores in your home 1000-8.1009 B1 10 by what from when comma 1006 RW2 11. Momente para PARATIForm 12. Bent Com 10900) 13.18 Social Security and the so-B-1091) 14. Mincome for the 15 har noen her, Mr Buty that income Yes No Unsur Part-Expontos at Yon, Did You for Your Spouse Pay 1. Ayorate maintenance payments yesy do you have their SNI Yes NO 2 Combos open tot O IRAIA D419 DRA) One Congendaryonor your spouse or deprim 108 DI 4 Ayo DAIM & winga) D Morogoro 10 O Rei Ese Personal Property Obie Corbin 5. Cependant care what 8. Forms and teacher Macher's side, ale 7. Al Expenses som plante come you received She ist? IF 1000 Yo No Un Part V-Life Events Last Year, Did You for Your How Swing Arms SASA W2 W123 2 Awe credit card ongeldforgiven by a wide home force? For 100- Adopta & ECO Tax Cepotty Crownowy which 5. Purchase and new onesuch Windsumon, A Receive the time Homes C2007 1. Make a payments or plast years and to the year's and how much? BAFwmlstyga apa se conform 104007 1 9. Avec une Martin Calvin 10. Rave an Formal Payment 2017 11. Rave And Chid Tax Orada CIE 13614- C00 DORO DE p00ip WA Will you that an Ver ng Swim weden D www wwww! Muy fueron de folder me show how to find your www will be only for the dan wel we Wider . OW uwon Fort Now ce! DA DAWA www w ko CASA DO le Wow! De De. AD A X Pada C 13614- IRA OF HIA SIMON IRAS, surance Contracts, etc 300 MARIN STREET S 2.000.00 Form 1099-R YOUR CITY, YOUR STATE, ZIP h Taibe around Total Copy B not determined distribution PAVER'S TIN RECIPIENT'S TIN 3 Capitalgan included in 4 Fedem Report this income on your box2 wild federal tax return. If this 48-200Xxxx 419-00-XXXX S 200.00 form shows RECIPIENTS rame 5 Frple contro Neurred federal income Designated Roll Appreciation in tax withheld in corror employer's securities CYNTHIA SIMON nur nice preme box 4, attach this oopy to Street address including at no your return Ostribution BO SERY code 159 ARCHER AVENUE This information $ Clay or own the province, country, and Por foreign code Ga Your percentage of total Todos being furnished to tha IRS YOUR CITY YOUR STATE, ZIP bution *$ 10 Amount obiet 11 1st year of FATCA 14 Sated 15 State Payer's state no 16 State distrution within years Roth Account number onstruction 17 Local tax withhold 13 Date of payment 18 Name of locality 19 Local distribution Form 1099-R 1 www.gum Det er Service we file Employee's social security 419-00-XXXX Employer con 57-200XXX try's name, add code Saturde Via the website OMB No 1545-COD FASTI Use www.sowe 1 W, fother compensation Federal come to withheld $35,000.00 $2.000.00 3 Security & Society for the $35,000.00 $2 170.00 6 Medewende & Medicare tax withold $35,000.00 $507 50 7 Sty Tips & Allocated ELECTRIC COMPANY 389 DAILY DRIVE YOUR CITY, STATE, ZIP d Car 10 Dependente en Employee's fame and instal Laste S11 Nogue plans 1 Series for Box12 13 12 CYNTHIA SIMON 159 ARCHER AVENUE YOUR CITY, YOUR STATE, ZIP 14 Omer 120 12 + Employee's arts and ZP code 15 Semployer's state number YS 57-200XXX 20 10 State 17 cm 16 Locats 19 Linex $35,000.00 $750.00 W-2 wage and Tax Statement 2021 Dearest of the Treasurystal Service Copy B-To Be Filed With Employee's FEDERAL Tax Return This information is being furnished to the won Reverse Service 96 Advanced Scenarios CORRECTED 2021 HOUSEKEEPERS TOY WAY YOGR CITY, YOUR STATE Nonemployee Compensation 1000-NEC INTER XX Copy For CANON 158 ARCHER AVEC cy YOUR CITY YOUR STATE NEC 1 2021 TAX REPORTING STATEMENT ABC INVESTMENTS 456 Puma Puma Your City, YS 20P Cynthia Simon 150 Archer Avenue Your City, YS ZIP Account No. 111-222 Recipient ID No. 410-00 xxxx Payer's Fedi Number: 40 200XXXX 150.00 .75.00 300.00 0.00 0.00 0.00 0.00 0.00 .0.00 0.00 0.00 0.00 Form 1099-DIV 2021 Dividends and Distributions Grey BOMANO 1050 1 Tot Ordinary Dividends 16 Qualified Dividends 2a Tot Capital Gain Distributions Includes 26-2d). 2b Capital Gains that represent Unrecaptured 1250 Gain 2c Capital Gains that represent Section 1202 Gain 2d Capital Gains that represent Collectibles (28%) Gain 2 Nondividend Distributions 4 Federal Income Tax Withhold 5 Investment Expenses 6 Foreign country or U.S. Possession 7 Cash Liquidation Distributions 8 Non-Cash Liquidation Distons 9 Exempt Interest Dividends 10 Specified Private Activity to interest Dividende 11 State 12 State Identification No 13 State Tax Withheld Form 1099-MISC 2021 Miscellaneous Income Ceylan NO 15.00 2 Royal 4 Federal Income Tax Withheld 8 Substitute Payments in tieu of Dividends of interest 16 State Tax Withheld 17 State Payer's State No. 18 State income Form 1099-INT 2021 Interest Income 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1 Interest income 2 Early Withdrawal Penalty 3 Interest on U.S. Savings Bonds and Treas. Obligations 4 Federal Income Tax Withheld 5 Investment Expenses 6 Foreign Tax Paid 7 Foreign country of U.S. Possession 8 Tax Exempt interest 9 Specified Private Activity Bond interest 14 Tax Exempt Bond CUSIP No. Summary of 2021 Proceeds From Broker and Barter Exchange Transactions Sales Price of Stocks, Blonds, etc., Federal Income Tax Withheld 250,00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 6,150.00 0.00 Predstave RS Releases Page 1 of 2 98 Advanced Scenarios ABC INVESTMENTS 456 Pima Plaza Your City, YS ZIP 2021 TAX REPORTING STATEMENT Cynthia Simon 159 Archer Your City, YS ZIP Account No. 111-222 Recipient ID No. 410-00 000X Payer's Fed to Number: 40 2000OOX FORM 1099-B* 2021 Proceeds from Broker and Barter Exchange Transactions CopyROMR NO. 1545-0715 Short-term transactions for which basis is reported to the IRS Report on Form 8949 with Box A checked andior Schedule D. Part (This is for Description 1d Stock or Other Symbol, CUSIP (IRS Form 1099 ) box numbers are shown below in bold type) 16 Date 1 Dule sota e Proces Te Gheter GARY 1 Wh San And Oth Low Sew lowa Co. Common Stock Sale 01.06.2021 T0302021 200.000 TOTALS 550.00 2,650.00 2,650.00 2,000.00 2,000.00 FORM 1099-B* 2021 Proceeds from Broker and Barter Exchange Transactions Croy BROMS NO 1545-0715 Long-term transactions for which basis is not reported to the IRS Report on Form 1949 with Box E checked and/or Schedule D. Part (This Bus AS Description, 1d Stockor Other Symbol,CUSIP (US form 1 box numbe we shown below bod type Adent Duterte SEP Gangwa de income de Bold Opera Louis SW lowa Co. Common Stock Sale 102/2008 11/01/2021 200.000 3.500.00 2.100.00 1.400.00 TOTALS 3,500.00 2,100.00 This is important tax information and is being fushed to the Internal Revenue Service if you are required to return a negligence penalty or other section may be imposed on you if this income table and the determines that has not been reported Pago 2012 BYD CONECTED 2021 Student Loans Statement TOYOTE 10006 Copy Fer PORN wa 1 OURED 2.2009 2021 SUFFOLK COLLEGE SECOLLEGE AVENUE YOUR CITY, YOUR STATE, Tuition Statement 100T - Copy For CYNTHA SON ANCHOR AVENUE YOUR CITY YOUR STATE 2P -T For IU95-A Do not attach to your tax retum. Keep for your records Departe CORRECTED 2021 www Go to www.ingowFormROSSA for instructions and the latest information Partl Recipient Information placed 2 grad poley run Policy 12-3456789 987654 6 . Pacienda CYNTHIA SIMON 419-00-XXXX 2/24/1992 7 Reason & 'N Rechef 11 Policy 12/31/2021 10 Potestate 01/01/2021 1 C YOUR CITY Part II Covered Individuals 12 Street dat die apo 159 ARCHER AVENUE 16 Coutry and Powy postal code ZIP 16 Se YOUR STATE A Cover IL Covered in SON C.Covardid Dedule.com 10 CYNTHIA SIMON 419-00-XXXX 2/24/1992 01/01/2021 12/31/2021 18 19 20 Part Il Coverage Information Month A Monthly evolment premium 3. Monty second lowest cool silver plan SL CSP) Q. Montvy advance payment of premium credt 21 $200 $150 22 $330 $330 $330 $200 $200 $150 22 M $150 24 Apr $200 $330 $150 25 May $200 $330 $150 20 $200 $330 $150 27 $200 $330 $150 $200 $330 $150 25 $200 $330 $150 30 October $330 $150 $200 $200 31 November $330 $150 22 De $200 $330 13 Annun Totale $2,400 For Privacy Act and Paperwork Reduction Act Notice, ce separate Instructions $3,960 Cat $150 $1,800 un 1096 A 000 Advanced Scenarios 101 65% + Advanced Scenarios 1234 Cynthin Simon 18 Archer YOUR CITY STATE PAY TO THE ORDER OF VOID DOLLARS Adelphi Bansk and Trust Anytown State 00000 For 1111000025 123456789 1234 Advanced Scenario 8: Test Questions Directions Using the tax software, complete the tax return, including Form 1040 and all appropri- ate forms, schedules, or worksheets. Answer the questions following the scenario Note: When entering Social Security numbers (SSN) or Employer Identification Numbers (EINs), roplace the Xs as directed, or with any four digits of your choice. 23. What is the net short term capital gain reported on Cynthia's Schedule D? a $2,350 b. $1,400 C$650 d. $300 24. Which of the following cannot be claimed as a business expense on Cynthia's Schedule C? a. Cleaning supplies b. Business cards Lunches d. Work gloves 25. What is the amount Cynthia can take as a student loan interest deduction on her Form 1040, Schedule 19 $ 26. What is the total amount of advanced premium tax credit that Cynthia received in 20212 a $3.960 b. $2.400 C$1,800 d. $150 27. What is the amount of Cynthia's lifetime leaming credit? $ 28. Cynthia will have to pay $200 additional tax because she received the early distri- bution from her RA a True b. False 29. How can Cynthia prevent having a balance due next year? She can increase the withholding on her Form W4 She can make estimated tax payments cShe can use the IRS withholding calculator to estimate her withholding for next 8 b. year d. All of the above Advanced Scenarios 103 Directions Using the tax software, complete the tax retum, including Form 1040 and all appropri- ate forms, schedules, or worksheets Answer the questions following the scenario Note: When entering Social Security numbers (SSNS) or Employer Identification Numbers (EINS), replace the Xs as directed, or with any four digits of your choice. Interview Notes Cynthia is an electrician, age 29, and single. Cynthia has investment income and has a consolidated broker's statement Cynthia began a cleaning service business in 2020. She was paid on Form 1099- NEC for 2021. She also received additional cash receipts of 400 not reported on the Form 1099-NEC Cynthia uses the cash method of accounting. She uses business code 561720. Cynthia has receipts for the following expenses: $350 for cleaning supplies I $225 for business cards $450 for a mop, broom, and vacuum cleaner $150 for work gloves $125 for lunches $175 for work clothes suitable for everyday use Cynthia has a detailed mileage log reporting for 2021: Mileage from her home to her first client's home and mileage from her last client's home to her home - 750 miles In addition, on the days Cynthia worked for multiple clients, she kept track of the mileage from the first client's home to the second client's home in case that mileage was also deductible. She logged 450 miles (not included in the 750 miles) The total mileage on her car for tax year 2021 was 11,200 miles. Of that, 10,000 were personal miles. She placed her only vehicle, a pick-up truck, in service on 3/15/2020. Cynthia will take the standard mileage rate. Cynthia took an early distribution from her IRA in April to pay off her educational Cynthia is paying off her student loan from 2018. Cynthia is working towards her Master of Business Administration (MBA) degree. She took a few college courses this year at an accredited college expenses Cynthia purchased urance for her through the marketplace and as a Form 10.A Oyntia refund, she would like it deposed to her checking account Cynthias received the third Economic at Payment (E1P3in the amount of 1.400 2021 SOCIAL SEARITY 419-00-XXXX Cynthia Simon Cynthin Simon um 136146 IMA Intake interview & Quality Review Sheet 4 WS de w Lame M LU AO AW TOUR Yamo FRESH KORT Lawy w X YD DYN w Cleaner . MO 2001 - Or La De warya what you TUR 13814 des Check beforenin Yes No uwure Parti comel Year, Did You for Your Race O Worwo Wyeshow many did you have lost you? D ZA Theme 3.B) Schi? (Fom W2 100-T) 4 SOM from the band CO 2.7m 100-INT10000) Rind of comform 100) Amony complementenance pays? 7.) Self-Employment come from MBC, NEC, cash, por ser & Chickets, or for any performed on For W-20 10077 I come from the sale orange of conductores in your home 1000-8.1009 B1 10 by what from when comma 1006 RW2 11. Momente para PARATIForm 12. Bent Com 10900) 13.18 Social Security and the so-B-1091) 14. Mincome for the 15 har noen her, Mr Buty that income Yes No Unsur Part-Expontos at Yon, Did You for Your Spouse Pay 1. Ayorate maintenance payments yesy do you have their SNI Yes NO 2 Combos open tot O IRAIA D419 DRA) One Congendaryonor your spouse or deprim 108 DI 4 Ayo DAIM & winga) D Morogoro 10 O Rei Ese Personal Property Obie Corbin 5. Cependant care what 8. Forms and teacher Macher's side, ale 7. Al Expenses som plante come you received She ist? IF 1000 Yo No Un Part V-Life Events Last Year, Did You for Your How Swing Arms SASA W2 W123 2 Awe credit card ongeldforgiven by a wide home force? For 100- Adopta & ECO Tax Cepotty Crownowy which 5. Purchase and new onesuch Windsumon, A Receive the time Homes C2007 1. Make a payments or plast years and to the year's and how much? BAFwmlstyga apa se conform 104007 1 9. Avec une Martin Calvin 10. Rave an Formal Payment 2017 11. Rave And Chid Tax Orada CIE 13614- C00 DORO DE p00ip WA Will you that an Ver ng Swim weden D www wwww! Muy fueron de folder me show how to find your www will be only for the dan wel we Wider . OW uwon Fort Now ce! DA DAWA www w ko CASA DO le Wow! De De. AD A X Pada C 13614- IRA OF HIA SIMON IRAS, surance Contracts, etc 300 MARIN STREET S 2.000.00 Form 1099-R YOUR CITY, YOUR STATE, ZIP h Taibe around Total Copy B not determined distribution PAVER'S TIN RECIPIENT'S TIN 3 Capitalgan included in 4 Fedem Report this income on your box2 wild federal tax return. If this 48-200Xxxx 419-00-XXXX S 200.00 form shows RECIPIENTS rame 5 Frple contro Neurred federal income Designated Roll Appreciation in tax withheld in corror employer's securities CYNTHIA SIMON nur nice preme box 4, attach this oopy to Street address including at no your return Ostribution BO SERY code 159 ARCHER AVENUE This information $ Clay or own the province, country, and Por foreign code Ga Your percentage of total Todos being furnished to tha IRS YOUR CITY YOUR STATE, ZIP bution *$ 10 Amount obiet 11 1st year of FATCA 14 Sated 15 State Payer's state no 16 State distrution within years Roth Account number onstruction 17 Local tax withhold 13 Date of payment 18 Name of locality 19 Local distribution Form 1099-R 1 www.gum Det er Service we file Employee's social security 419-00-XXXX Employer con 57-200XXX try's name, add code Saturde Via the website OMB No 1545-COD FASTI Use www.sowe 1 W, fother compensation Federal come to withheld $35,000.00 $2.000.00 3 Security & Society for the $35,000.00 $2 170.00 6 Medewende & Medicare tax withold $35,000.00 $507 50 7 Sty Tips & Allocated ELECTRIC COMPANY 389 DAILY DRIVE YOUR CITY, STATE, ZIP d Car 10 Dependente en Employee's fame and instal Laste S11 Nogue plans 1 Series for Box12 13 12 CYNTHIA SIMON 159 ARCHER AVENUE YOUR CITY, YOUR STATE, ZIP 14 Omer 120 12 + Employee's arts and ZP code 15 Semployer's state number YS 57-200XXX 20 10 State 17 cm 16 Locats 19 Linex $35,000.00 $750.00 W-2 wage and Tax Statement 2021 Dearest of the Treasurystal Service Copy B-To Be Filed With Employee's FEDERAL Tax Return This information is being furnished to the won Reverse Service 96 Advanced Scenarios CORRECTED 2021 HOUSEKEEPERS TOY WAY YOGR CITY, YOUR STATE Nonemployee Compensation 1000-NEC INTER XX Copy For CANON 158 ARCHER AVEC cy YOUR CITY YOUR STATE NEC 1 2021 TAX REPORTING STATEMENT ABC INVESTMENTS 456 Puma Puma Your City, YS 20P Cynthia Simon 150 Archer Avenue Your City, YS ZIP Account No. 111-222 Recipient ID No. 410-00 xxxx Payer's Fedi Number: 40 200XXXX 150.00 .75.00 300.00 0.00 0.00 0.00 0.00 0.00 .0.00 0.00 0.00 0.00 Form 1099-DIV 2021 Dividends and Distributions Grey BOMANO 1050 1 Tot Ordinary Dividends 16 Qualified Dividends 2a Tot Capital Gain Distributions Includes 26-2d). 2b Capital Gains that represent Unrecaptured 1250 Gain 2c Capital Gains that represent Section 1202 Gain 2d Capital Gains that represent Collectibles (28%) Gain 2 Nondividend Distributions 4 Federal Income Tax Withhold 5 Investment Expenses 6 Foreign country or U.S. Possession 7 Cash Liquidation Distributions 8 Non-Cash Liquidation Distons 9 Exempt Interest Dividends 10 Specified Private Activity to interest Dividende 11 State 12 State Identification No 13 State Tax Withheld Form 1099-MISC 2021 Miscellaneous Income Ceylan NO 15.00 2 Royal 4 Federal Income Tax Withheld 8 Substitute Payments in tieu of Dividends of interest 16 State Tax Withheld 17 State Payer's State No. 18 State income Form 1099-INT 2021 Interest Income 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1 Interest income 2 Early Withdrawal Penalty 3 Interest on U.S. Savings Bonds and Treas. Obligations 4 Federal Income Tax Withheld 5 Investment Expenses 6 Foreign Tax Paid 7 Foreign country of U.S. Possession 8 Tax Exempt interest 9 Specified Private Activity Bond interest 14 Tax Exempt Bond CUSIP No. Summary of 2021 Proceeds From Broker and Barter Exchange Transactions Sales Price of Stocks, Blonds, etc., Federal Income Tax Withheld 250,00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 6,150.00 0.00 Predstave RS Releases Page 1 of 2 98 Advanced Scenarios ABC INVESTMENTS 456 Pima Plaza Your City, YS ZIP 2021 TAX REPORTING STATEMENT Cynthia Simon 159 Archer Your City, YS ZIP Account No. 111-222 Recipient ID No. 410-00 000X Payer's Fed to Number: 40 2000OOX FORM 1099-B* 2021 Proceeds from Broker and Barter Exchange Transactions CopyROMR NO. 1545-0715 Short-term transactions for which basis is reported to the IRS Report on Form 8949 with Box A checked andior Schedule D. Part (This is for Description 1d Stock or Other Symbol, CUSIP (IRS Form 1099 ) box numbers are shown below in bold type) 16 Date 1 Dule sota e Proces Te Gheter GARY 1 Wh San And Oth Low Sew lowa Co. Common Stock Sale 01.06.2021 T0302021 200.000 TOTALS 550.00 2,650.00 2,650.00 2,000.00 2,000.00 FORM 1099-B* 2021 Proceeds from Broker and Barter Exchange Transactions Croy BROMS NO 1545-0715 Long-term transactions for which basis is not reported to the IRS Report on Form 1949 with Box E checked and/or Schedule D. Part (This Bus AS Description, 1d Stockor Other Symbol,CUSIP (US form 1 box numbe we shown below bod type Adent Duterte SEP Gangwa de income de Bold Opera Louis SW lowa Co. Common Stock Sale 102/2008 11/01/2021 200.000 3.500.00 2.100.00 1.400.00 TOTALS 3,500.00 2,100.00 This is important tax information and is being fushed to the Internal Revenue Service if you are required to return a negligence penalty or other section may be imposed on you if this income table and the determines that has not been reported Pago 2012 BYD CONECTED 2021 Student Loans Statement TOYOTE 10006 Copy Fer PORN wa 1 OURED 2.2009 2021 SUFFOLK COLLEGE SECOLLEGE AVENUE YOUR CITY, YOUR STATE, Tuition Statement 100T - Copy For CYNTHA SON ANCHOR AVENUE YOUR CITY YOUR STATE 2P -T For IU95-A Do not attach to your tax retum. Keep for your records Departe CORRECTED 2021 www Go to www.ingowFormROSSA for instructions and the latest information Partl Recipient Information placed 2 grad poley run Policy 12-3456789 987654 6 . Pacienda CYNTHIA SIMON 419-00-XXXX 2/24/1992 7 Reason & 'N Rechef 11 Policy 12/31/2021 10 Potestate 01/01/2021 1 C YOUR CITY Part II Covered Individuals 12 Street dat die apo 159 ARCHER AVENUE 16 Coutry and Powy postal code ZIP 16 Se YOUR STATE A Cover IL Covered in SON C.Covardid Dedule.com 10 CYNTHIA SIMON 419-00-XXXX 2/24/1992 01/01/2021 12/31/2021 18 19 20 Part Il Coverage Information Month A Monthly evolment premium 3. Monty second lowest cool silver plan SL CSP) Q. Montvy advance payment of premium credt 21 $200 $150 22 $330 $330 $330 $200 $200 $150 22 M $150 24 Apr $200 $330 $150 25 May $200 $330 $150 20 $200 $330 $150 27 $200 $330 $150 $200 $330 $150 25 $200 $330 $150 30 October $330 $150 $200 $200 31 November $330 $150 22 De $200 $330 13 Annun Totale $2,400 For Privacy Act and Paperwork Reduction Act Notice, ce separate Instructions $3,960 Cat $150 $1,800 un 1096 A 000 Advanced Scenarios 101 65% + Advanced Scenarios 1234 Cynthin Simon 18 Archer YOUR CITY STATE PAY TO THE ORDER OF VOID DOLLARS Adelphi Bansk and Trust Anytown State 00000 For 1111000025 123456789 1234 Advanced Scenario 8: Test Questions Directions Using the tax software, complete the tax return, including Form 1040 and all appropri- ate forms, schedules, or worksheets. Answer the questions following the scenario Note: When entering Social Security numbers (SSN) or Employer Identification Numbers (EINs), roplace the Xs as directed, or with any four digits of your choice. 23. What is the net short term capital gain reported on Cynthia's Schedule D? a $2,350 b. $1,400 C$650 d. $300 24. Which of the following cannot be claimed as a business expense on Cynthia's Schedule C? a. Cleaning supplies b. Business cards Lunches d. Work gloves 25. What is the amount Cynthia can take as a student loan interest deduction on her Form 1040, Schedule 19 $ 26. What is the total amount of advanced premium tax credit that Cynthia received in 20212 a $3.960 b. $2.400 C$1,800 d. $150 27. What is the amount of Cynthia's lifetime leaming credit? $ 28. Cynthia will have to pay $200 additional tax because she received the early distri- bution from her RA a True b. False 29. How can Cynthia prevent having a balance due next year? She can increase the withholding on her Form W4 She can make estimated tax payments cShe can use the IRS withholding calculator to estimate her withholding for next 8 b. year d. All of the above Advanced Scenarios 103