File Tools View Practice Set #1 2020 (Protected View) - Word (Product Activation Failed) X PROTECTED VIEW Be carefulfiles from the Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View. Enable Editing X Practice Set #1 Due March 15, 2021 - at 11:00 pm End of document I Eric Amoth (Social Security Number 551-11-1111) is 50 years old and married to Mary Amoth, age 34, (Social Security Number 552-45-6789). Formerly, Mary was Eric's secretary, but quit work to raise their children. They live at 1313 Mockingbird Lane, Mockingbird Heights, CA 92506. They file a joint return and have two dependent children, Anakin, age 13 and Rey, age 14. Anakin's social security number is 551-45-6888 and Rey's social security number is 552-45-6777. Neither is interested in helping to fund the Presidential Election Campaign Fund. Eric and Mary come to you for help with the preparation of their 2020 tax return and have provided the details for the following transactions: $2,500 at the time Hope received them and she did not have the option of receiving cash. The Amoth's gave to the Goodwill items with a FMV of $650. They provided the receipt for the household goods donated on 7/15. The goodwill is the local one in Mockingbird Heights at 123 High Street. The Amoths own their home. They provided to you a Form 1098 with the mortgage interest paid by them to Rocket Mortgage. The total interest was $14,000. Additionally, the property taxes were impounded by Rocket Mortgagee and were $4,500 for the year. The Amoths made charitable contributions to recognized charities for which they have receipts in the amount of $15,800. Additionally, the Amoths made a contribution of $3,500 to the Reelect Major Munster's political campaign. Eric and Hope wish to contribute the maximum to an Individual Retirement Account for 2020 for each of them. There is no retirement plan at Red Steel Corporation. Eric and Hope contributed $5,000 for each of the three children's separate qualified tuition plans for 2020. Compute the Amoth's net federal tax payable (or refund due) for 2020. The the 1040 and applicable other form that would be needed to file a tax return with the IRS in 2020. DO NOT PREPARE THE CALIFORNIA RETURN. Eric received $200,000 in salary from Red Steel Corporation, where he is a construction engineer. Federal withholding was $37,750 and the appropriate FICA and Medicare withholding was done. CA withholding was $15,100. Eric's mother passed away 6/22/2020. He received a parcel of land worth $50,000 on 6/22/2020, no alternative valuation date was elected. He sold the land on 12/24/2020 for $50,600. He also received life insurance proceeds in the amount of $150,000. He invested a portion of the proceeds from the sale into Disney stock for his three children. The value of the Disney stock at the time of purchase was $10,000 per child. Eric and Mary received $10,400 from Los Angeles school district bonds. Eric received $5,300 interest from a Merrill Lynch money market account. Eric received $15,000 of dividend income from Ford Motor Company stock that he owned for over 2 years. Hope received 50 shares of Applegate Corporation common stock as a stock dividends. The shares has a fair market value of In addition to the federal return for 2020, you will need to prepare a narrative explaining all of the items in this problem and why the income items are taxable or nontaxable and why the deduction items in this problem are deductible or nondeductible. Returns without the narrative will not be graded. The assignment is due March 15, 2021 at 11:00pm. We will discuss in class as part of our midterm review on March 17th. Late practice sets with narratives will be accepted at 50%. Screens 1-3 of 3 100% H wi 100%" 6:10 PM 3/10/2021 (99+ File Tools View Practice Set #1 2020 (Protected View) - Word (Product Activation Failed) X PROTECTED VIEW Be carefulfiles from the Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View. Enable Editing X Practice Set #1 Due March 15, 2021 - at 11:00 pm End of document I Eric Amoth (Social Security Number 551-11-1111) is 50 years old and married to Mary Amoth, age 34, (Social Security Number 552-45-6789). Formerly, Mary was Eric's secretary, but quit work to raise their children. They live at 1313 Mockingbird Lane, Mockingbird Heights, CA 92506. They file a joint return and have two dependent children, Anakin, age 13 and Rey, age 14. Anakin's social security number is 551-45-6888 and Rey's social security number is 552-45-6777. Neither is interested in helping to fund the Presidential Election Campaign Fund. Eric and Mary come to you for help with the preparation of their 2020 tax return and have provided the details for the following transactions: $2,500 at the time Hope received them and she did not have the option of receiving cash. The Amoth's gave to the Goodwill items with a FMV of $650. They provided the receipt for the household goods donated on 7/15. The goodwill is the local one in Mockingbird Heights at 123 High Street. The Amoths own their home. They provided to you a Form 1098 with the mortgage interest paid by them to Rocket Mortgage. The total interest was $14,000. Additionally, the property taxes were impounded by Rocket Mortgagee and were $4,500 for the year. The Amoths made charitable contributions to recognized charities for which they have receipts in the amount of $15,800. Additionally, the Amoths made a contribution of $3,500 to the Reelect Major Munster's political campaign. Eric and Hope wish to contribute the maximum to an Individual Retirement Account for 2020 for each of them. There is no retirement plan at Red Steel Corporation. Eric and Hope contributed $5,000 for each of the three children's separate qualified tuition plans for 2020. Compute the Amoth's net federal tax payable (or refund due) for 2020. The the 1040 and applicable other form that would be needed to file a tax return with the IRS in 2020. DO NOT PREPARE THE CALIFORNIA RETURN. Eric received $200,000 in salary from Red Steel Corporation, where he is a construction engineer. Federal withholding was $37,750 and the appropriate FICA and Medicare withholding was done. CA withholding was $15,100. Eric's mother passed away 6/22/2020. He received a parcel of land worth $50,000 on 6/22/2020, no alternative valuation date was elected. He sold the land on 12/24/2020 for $50,600. He also received life insurance proceeds in the amount of $150,000. He invested a portion of the proceeds from the sale into Disney stock for his three children. The value of the Disney stock at the time of purchase was $10,000 per child. Eric and Mary received $10,400 from Los Angeles school district bonds. Eric received $5,300 interest from a Merrill Lynch money market account. Eric received $15,000 of dividend income from Ford Motor Company stock that he owned for over 2 years. Hope received 50 shares of Applegate Corporation common stock as a stock dividends. The shares has a fair market value of In addition to the federal return for 2020, you will need to prepare a narrative explaining all of the items in this problem and why the income items are taxable or nontaxable and why the deduction items in this problem are deductible or nondeductible. Returns without the narrative will not be graded. The assignment is due March 15, 2021 at 11:00pm. We will discuss in class as part of our midterm review on March 17th. Late practice sets with narratives will be accepted at 50%. Screens 1-3 of 3 100% H wi 100%" 6:10 PM 3/10/2021 (99+