Gross Income: Schedule C; Total Gross Income 116,350 Sched C profit / (loss) Deductions for AGI: FDD flood washed away silverware: Total Deductions for AGI AGI 110,350 Loss Less: Less Itemized Deductions: FDD Casualty Loss Auto damage in FDD: Loss Total Itemized Deductions 22,261 Less: Less: FDD Casualty Loss Total FDD casualty loss Qualified Business Income Deduction Less Deductible C&T Loss QBI Deduc Taxable Income 88,089 Single tax on $ 24% x $ Total Tax on TI (Single) 2020 Total Tax: Federal Income Tax (Single): Jane's withheld tax Jane's estimated tax paid Tax Due / (Refund) Amounts Not Used & Why: Description Amount Reason not used in calculation INUse the following information to compute Jane Smith's 2020 federal income tax payable amount or tax refund amount. Complete your calculations on the designated excel worksheet, and follow the instructions on the comprehensive problem information sheet. You may nd it useful to reference the following forms while completing this comprehensive problem: Form 1040, Schedule 1, Form 4684, Schedule A, and Schedule C. Facts: Jane Smith, age 40, is single, lives in Florida, and has no dependents. She is employed as a legal secretary by Legal Services, Inc. In addition, she owns and operates Typing Services as a sole proprietor. She has sufcient evidence to prove both material participation and prot motivation for this activity. Jane is a cash basis taxpayer. Her employer provided her with health insurance coverage for all months in the 2020 tax year. During 2020 Jane had the following income and expense items: $106,000 salary from Legal Services, Inc. $28,000 gross receipts from her Typing Services business $700 interest income from bank accounts at First Florida Bank $1,500 Christmas bonus from Legal Services, Inc. $80,000 life insurance proceeds received as beneciary upon the death of her sister $5,000 check gifted to her by her wealthy auntie $350 won in a bingo game Expenses connected with the Typing Services business 0 Ofce rent $8,800 0 Su ppl ies 4,900 0 Utilities and telephone 4,680 o Contractor payments to typists 7,500 0 Website costs 620 0 Equipment rentals 3,300 $14,300 interest expense on a home mortgage {paid to Bank of the South} Silverware with a fair market value of $10,000 was washed away from Jane's home by a ood on April 10, 2020 during a federally declared disaster. Jane paid $14,000 for the silverware on July 1, 2005. She was reimbursed $1,300 by her insurance company and received no other disaster relief funds. Jane had loaned $2,400 to a friend, Bill Bob, on January 8, 2013. Bill declared bankruptcy on October 12, 2020 and was unable to repay the loan. Assume that the loan is a bona de debt. Legal Services, Inc. withheld $18,000 Federal income tax 8|. the appropriate amount of FICA tax from her wages. Alimony of $12,000 received from her former husband, Byron Smith. The divorce was nalized in 2012. Interest income of $1,400 on City of Boca Raton bonds. Jane made estimated federal tax payments of $2,000 State sales tax from the IRS sales tax table of $946 Property taxes on her residence of $1,650 Charitable contribution of $1,900 On November 8, 20201ane's car was damaged in a federally declared disaster. Right before the disaster struck, Jane's 100% personal use automobile had a FMV of $25,000. After the disaster, the automobile's FMV was $18,000. Janes' basis in the car was $32,000. Jane's auto insurance policy would only pay for damages in excess of $6,000. For this reason, Jane decided not to le a claim for the damage. Jane did not receive any other disaster relief funds. Jane is not covered by a retirement plan at work and made a deductible traditional IRA contribution of $6,000