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File second page of form 1040 please. 1. Charlotte Burton (unmarried) is employed as an office manager at the main office of Currier, Ellis &

File second page of form 1040 please.

1. Charlotte Burton (unmarried) is employed as an office manager at the main office of Currier, Ellis & Acton Law firm. Charlotte lives in a home she purchased 15 years ago. Charlotte lived in her home with her daughter Emily Burton and Charlottes younger sister Anne for the entire year. Emily is disabled and receives $3,760 of income each year housesitting for neighbors. Emily is able to save these funds because Charlotte provides all of Emilys support. Charlotte also provides all of the support for her sister Anne Burton. Anne is a writer and sold her first book in 2018 and earned $9,000.

2. Charlotte received a Form W-2 Wages: $93,100 Federal income tax withheld: 7,960 Social Security tax withheld: 5,772 Medicare tax withheld: 1,350 State income tax withheld: 0 3. Charlotte sold 2,500 shares of Moors Whisper stock for $21 a share on October 1, 2018. She purchased the stock on June 22, 2003, for $12 a share. There was a commission charge of $80 on the sale of these shares. She also sold 740 shares of Heathcliff stock for $26 a share on February 11, 2018. She purchased the stock for $71 a share on October 6, 2016. Both of these sales were not reported to her on a 1099-B. 4. Charlottes father, Patrick died on August 20, 2015, leaving Charlotte his entire estate. Included in the estate was Patricks house (1761 Bridge Street, El Paso, TX 79901). Patricks basis in the residence was $66,000. The fair market value of the residence on August 20, 2015 was $171,000. Charlotte has held the property as a rental property since she received it and has managed it herself, however she is not a real estate professional. To compute the depreciation on the house, Charlotte has allocated $15,000 of the propertys basis to the land and the remaining amount to the house. She has depreciated the house using the MACRS rules and conventions applicable to residential real estate. Charlotte has collected $1,500 per month all year (12 months) for 2018. The house was occupied during the entire year. She did not pay anyone that would require form 1099 for work related to this house. She incurred the following expenses related to the rental house during the year: Property Insurance $2,950 Property Taxes $3,920 Maintenance $1,670 Depreciation To be computed 5. The following is a record of the medical expense that Charlotte paid during the year. The amounts reported are amounts she paid in excess of insurance reimbursements. Medical Insurance premiums $9,175 Prescription medications 1,350 Prescription medications for Emily 600 Over-the-counter medications 350 Doctor and dentists visits 875 Eyeglasses 250 Physical therapy 865 6. Charlotte paid $15,730 in mortgage interest during the year to EPCU credit union. The loan balance on her loan is $239,000. During the year, Charlotte also paid $8,010 in real estate property taxes on this home and $3,975 real property taxes on a cabin she owns in Cloudcroft, NM. 7. Charlotte contributed cash of $7,675 to Community Church during the year. Community Churchs address is 333 Narrow Way, El Paso, TX 79905. She has receipts. 8. Charlotte paid $6,689 in Texas sales tax this year. She has kept all her receipts. 9. Charlotte paid $3,000 to FarmHouse Adult Daycare for Emilys care while she was working. FarmHouse Adult DayCare employer id# is 85-5577412. They are located at 8686 Orchard Ave, El Paso, TX 79901

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