Form 1065 Schedule B-1 Form 1065 Schedule K-1s QBI Information - Partnership Supplemental information year 2021 tax return

Please complete Queen Bee Plumbing's 2021 tax return based upon the facts presented below. If required information is missing, use reasonable assumptions to fill in the gaps. Ignore all AMT calculations and AMT related reporting items. Taylor Queen and Richard Bee have been life-long friends. After nearly a decade of working for that same company, Taylor and Richard decided to venture out on their own and form their own plumbing company called Queen Bee Plumbing. They formed Queen Bee as a limited liability company (LLC). Taylor and Richard each own 50% of the company. Information relating to Queen Bee and its owners is as follows: ship interest is 50%. Other information: For any 'yes' or 'no' questions on Schedule B, assume the answer is 'no' unless explicitly stated in the facts below. - Queen Bee is a domestic limited liability company. - Taylor and Richard are U.S. citizens and are not related, each owning 50% of the LLC. - Both Taylor and Richard are managing members. - All of Queen Bee's activities constitute a qualified trade or business, and the salaries and wages expense from the income statement is the same as W-2 wages paid by Queen Bee in 2021. - The total unadjusted basis for all assets placed in service for the prior 10 years matches the cost of all assets reported on the balance sheet. - Taylor is the Partnership Representative. - Both Taylor and Richard are active in the business and work full-time for Queen Bee. - Queen Bee does not maintain any inventory. - The debt owed to First National Bank is a non-recourse obligation and neither Taylor nor Richard have guaranteed its repayment (see balance sheet below). This debt is not directly tied to any specific asset but is rather a debt secured against all of the assets of the company (i.e. qualified nonrecourse debt). - During the year, Taylor and Richard each contributed $20,000 to the capital of Queen Bee. - During the year, Taylor and Richard each received a $60,000 distribution from Queen Bee. - MACRS tax depreciation calculated on the Form 4562 (not required for completion) is $95,000. Financial Statements: Queen Bee Plumbing, LLC Income Statement For the vear ending December 31, 2021 Queen Bee Plumbing, LLC Balance Sheet December 31, 2021 12/31/2020 12/31/2021 \begin{tabular}{lrr} \hline Assets: & & \\ Cash & 30,000 & 45,000 \\ Accounts Receivable & 9,750 & 6,500 \\ Supplies & 5,250 & 7,500 \\ Tax-exempt Securities & 100,000 & 150,000 \\ Building & 400,000 & 500,000 \\ Less: Acc. Depreciation & (55,000) & (65,000) \\ Equipment & 250,000 & 325,000 \\ Less: Acc. Depreciation & (150,000) & (225,000) \\ Land & 100,000 & 100,000 \\ Total Assets: & 690,000 & 844,000 \\ & & \\ Liabilities and Capital: & & \\ Accounts Payable & 70,000 & 45,000 \\ Long Term Note Payable-First National Bank & 280,000 & 250,000 \\ Capital Account-TQ & 170,000 & 274,500 \\ Capital Account-RB & 170,000 & 274,500 \\ Total Liabilities and Capital: & 690,000 & 844,000 \end{tabular}