hapter 4 Comprehensive Problem eBook Calculator Skylar and Walter Black have been married for 25 years. They live at 883 Scrub Brush Street, Apt. 528, Las Vegas, NV 89125. Skylar sa homemaker and Walter is a high school teacher. His W-2 form is located on the next tab. Skylar's Social Security number is 222-43-7690 and Walt's is 700-01-0002. Neither are age 65 or older. The Blacks provide all the support for Skylar's mother, Rebecca Backin (Social Security number 411 66-2121), who lives in a nursing home in Reno, NV and has no income. Walter's father, Alton Black (Social Security number 343-22-8899) Ilves with the Blacks in Las Vegas. Although Alton received Social Security benefits of $7,600 in 2018, the Blades provide over half of Alton's support. The Blacks moved from Maine to Nevada. As a result, they sold their house in Maine on January 4, 2013. The originally paid $76.000 for the home on July 3, 1993, but managed to sell it for $604,000. They spent $13,000 on improvements over the years. They are currently renting in Las Vegas while they look for a new home. The school district reimbursed Waiter $550 for moving expenses. These are reflected on his W-2 (see separate tab). Walter's previous job as a high school teacher in Maine, was only 5 miles from his home. Skylar was unemployed prior to the move The Blacks received a 1099-DIV from their mutual fund investments (see separate tab). The Blacks own a slicando located at 123 Buncombe Lane, Brian Head, UT 84719. The condo was rented for 184 days during 2015 and used by the Blacks for 16 days. Pertinent information about the condo rentals as follows: $12.000 3.600 Rental income Mortgage Interest reported on Form 1098 Homeowners' association dues Us 5.200 1,200 3,800 Maintenance Deprecation (assume fully depreciated) 0 The amounts do not reflect any allocation between mental and person of the condo. The Blacks are active managers of the condo Required: Camplete Form 1040 and the schedules and forms provided for the lacks Assume the taxpayers had health coverage for the entire year Neither taxpayers wants to contribute to the presidential election campaign If an amount box does not require an entry or the answer is zero, enter Do not round any percentages If required round your answers to the nearest dollar If required, enterosas a negative number on the tax for. Do not enter deductions as negative numbers. Special Instructions for Form 582: If required, use the minus sige to enter a los negative number on the lines Id. 4 and 16. However per the lastructions on the tax return, enter at hunbers in Part 11 as positive antounts Check My Way Instructions Walter's Forms W-2 and 1099-DIV Form 1040 Schedule 1 Schedule D Form 6949 Schedule E Form 9582 Qualified Divid Walter's Forms W-2 and 1099-DIV Walter's earnings from teaching are: a Employee's social security number 700-01-0002 OMB No. 1545-0008 Safe, accurate, FAST! Use IR e file Visit the IRS website at www.in.gov/ b Employer identification number (EIN) 31-1238967 1 Wages, tips, other compensation 50,900.00 2 Federal income tax withheld 4,320.00 3 Social security wages 50,900.00 C Employer's name, address, and ZIP code Las Vegas School District 2234 Vegas Valley Drive Las Vegas, NV 89169 4 Social security tax withheld 3,155.80 6 Medicare tax withheld 738.05 5 Medicare wages and tips 50,900.00 7 Social security tips 8 Allocated tips d Control number 9 Verification code 10 Dependent care benefits Suff. 11 Nonqualified plans 12a See instructions for box 12 e Employee's first name and initial Last name Walter Black 883 Scrub Brush Street, Apt # 52B Las Vegas, NV 89125 DD 7,800.00 12b 13 Statutory employee Retirement Third-party plan sick pay 14 Other 120 Check My Work pter 4 Comprehensive Problem eBook Calculator 12d | Employee's address and ZIP code 15 Employer's 16 State wages, tips, State state ID number etc 17 State Income tax 18 Local wages, tips, etc. 20 Locality name 19 Local Income tax NV Wage and Tax Statement Department of the Treasury ---Internal Revenue Service Form W-2 2018 Copy B-To Be Filed with Employee's FEDERAL Tax Return This information is being furnished to the Internal Revenue Service The Blacks received the following 1099-DIV from their mutual fund investments: CORRECTED I checked) PAYER'S name, street address, city or town, state or province la Total ordinary country, ZIP or foreign postal code, and telephone no dividends 37 PHI 145-gioi $1,400.00 2018 Dividends and Distributions 1b Qualredelidends Cyber Funds Equities Fund 41 Wall Street New York, NY 10005 $ 998.00 For 1099-DIV 2a Total gain ciste 26 recap 1250 Q $ 6,543.12 Check My Work hapter 4 Comprehensive Problem eBook Calculator $ 6,543.12 PAYER'S TIN RECIPIENT'S TIN 2c Section 1202 gain 2d Collectibles (28%) gain 17-1234326 222-43-7690 $ $ RECIPIENT'S name 3 Nondividend distributions 4 Federal income tax withheld Skylar B. Black Copy B $ $ For Recipient 5 Section 199A dividends 6 Investment expenses Street address (including apt. no.) $ 883 Scrub Brush Street #528 7 Foreign tax paid 8 Foreign country or U.S. possession City or town, state or province, country, and ZIP or foreign postal code $ This is important tax information and is being furnished to the IRS. If you are required to file a return, a negligence penalty or other sanction may be imposed on you if this income is taxable and the IRS determines that It has not been reported 9 Cash liquidation distributions 10 Noncash liquidation distributions Las Vegas, NV 89125 $ $ FATCA filing 11 Exempt Interest requirement dividends 12 Specified private activity bond interest dividends 5 Account number (see instructions) 13 State 14 State 15 State tax withheld identifications ro 5 Form 1099-DIV keep for your records) wasigov/Form10930 Department of the Treasury - Internal Revenue Service Instructions Walter's Forms W-2 and 1099-DIV Form 1040 Schedule 1 Schedule D Form 8949 Schedule E Form 8582 Qualified DI Form 1040 Complete Form 1040 for Walter and Skylar Black. Form Department of the Treasury--Internal Revenue Service (99) 1040 U.S. Individual Income Tax Return Filing status: Married filing jointly 2018 OMB No. 1545-0074 IRS Use Only Your first name and initial Walter Last name Black Your social security number 700-01-0002 Your standard deduction: None If joint return, spouse's first name and initial Skylar Last name Black Spouse's social security number 222.43.7690 Spouse standard deduction: None Yes y Full-year health care coverage or exempt (see inst. Home address (number and street). If you have a P.O. box, see instructions 383 Scrub Brush Street Apt. no. 52B Presidential Election Campaign (see inst. None City, town or post office, state, and ZIP code. If you have a foreign address, attach Schedule 6. If more than four dependents, see Las Vegas, NV 89125 inst. and here Dependents (see instructions): (2) Social security number (3) Relationship to you (4) If qualities for (see inst.): (1) First name Last name Child tax credit Credit for other dependents Rebecca Backin 411-66-2121 Mother No v Yes v Alton Black 343-22-8899 Father Nov You Sign Under penalties of perjury, I declare that I have examined this retum and accompanying schedules and statements, and to the best of my knowledge and belief, they are true correct and complete. Declaration of preparen other than Check My Work Sign Here Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief, they are true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge. Your signature Date Your occupation If the IRS sent you an Identity Teacher Protection PIN, enter it here (see inst.) Joint return? See instructions. Keep a copy for your records. Spouse's signature. If a joint return, both must sign. Date Spouse's occupation Homemaker If the IRS sent you an Identity Protection PIN, enter it here (see inst.) Preparer's name Preparer's signature PTIN Firm's EIN Check : Firm's name Paid Preparer Use Only Phone no. 3rd Party Designer Firm's address Self employed For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. Cat No. 11320B Form 1040 (2018) Form 1040 (2018) Walter and Skylar Black 700-01-0002 Page 2 1 Wages, salaries, tips, etc. Attach Form(s) W-2. 1 50,900 2a Tax-exempt interest 2a b Taxable interest 2b 3a 3b 1,400 4b Attach Form(s) W. 2. Also attach Form(s) W-2G and 1099-R if tax was withheld Qualified dividends 30 998 b Ordinary dividends IRAS, pensions, and 4a b Taxable amount annuities Social security benefits Sa b Taxable amount Total income. Add lines I through 5. Add any amount from schedule line 22 5a 5b 6 7 Adjusted gross income. If you have no adjustments to Income, enter the amount from line 5; otherwise, subtract Schedule le 35 from Ine 6 2 Standard Standard deduction or itemized deductions from Schedule 8 prehensive Problem eBook Calculator Adjusted gross income. If you have no adjustments to income, enter the amount from line 6; otherwise, subtract Schedule 1, line 36, from line 6 7 Standard 8 Standard deduction or itemized deductions (from Schedule A).. 8 Deduction for 9 Qualified business income deduction (see instructions) ....... 9 Single or married filing separately, 10 Taxable income. Subtract lines 8 and 9 from line 7. If zero or less, enter .0.... 10 $12,000 11 a Tax (see inst) (check if any from: 1 Form(s) 88142 Form 4972 Married filling 30 jointly or Qualifying b Add any amount from Schedule 2 and check here 11 widow(er). $24,000 Head of 12 a Child tax credit/credit for other dependents household, b Add any amount from Schedule 3 and check here 12 $18,000 13 Subtract line 12 from line 11. If zero or less, enter -0. 13 If you checked 14 14 any box under Other taxes. Attach Schedule 4. Standard 15 Total tax. Add lines 13 and 14.. 15 deduction, see 16 Federal income tax withheld from Forms W-2 and 1099 16 instructions. 17 Refundable credits: a EIC (see inst.) b Sch 8812 c Form 8863 Add any amount from Schedule 5 17 18 Add lines 16 and 17. These are your total payments 18 Refund 19 If line 18 is more than line 15, subtract line 15 from line 18. This is the amount you overpaid 19 20a Amount of line 19 you want refunded to you. If Form 8888 is attached, check here 20a Direct deposit? b Routing number - Type: Checking Savings See instructions d Account number 21 22 Amount of line 19 you want applied to your 2019 estimated tax 21 Amount you owe. Subtract line 18 from line 13. For details on how to a Instructions Estimated tax penalty (see Instructions 23 Amount You Owe 22 23 USCITUDIOS SCHEDULE 1 OMB No. 1545-0074 (Form 1040) Additional Income and Adjustments to Income 2018 Department of the Treasury Internal Attach to Form 1040. Attachment Revenue Service Go to www.irs.gov/Form1040 for instructions and the latest information. Sequence No. 01 Name(s) shown on Form 1040 Your social security number Walter and Skylar Black 700-01-0002 Additional 1-9b Reserved ... 1-9b Income 10 Taxable refunds, credits, or offsets of state and local income taxes 10 11 Alimony received 11 12 Business income or loss). Attach Schedule C or C-EZ 12 13 Capital gain or (loss). Attach Schedule D if required. If not required, check here 13 14 Other gains or losses). Attach Form 4797 14 15a Reserved 15b 16a Reserved 16b 17 Rental real estate, royalties, partnerships, S corporations, trusts, etc. Attach Schedule E 17 18 Farm income or (loss). Attach Schedule 18 19 Unemployment compensation 19 20a Reserved. 20b 21 Other income. List type and amount 21 22 Combine the amounts in the far right column. If you don't have any adjustments to income, enter here and include on Form 1040, line 6. Otherwise, go to line 23 22 Adjustments 23 Educator expenses 23 to Income 24 Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 2106 24 Check My Work Instructions Walter's Forms W-2 and 1099-DIV Form 1040 Schedule 1 Schedule D Form 1919 Schedule E Form 3582 Qualified Divi Schedule D Complete the Blacks' Schedule D. SCHEDULED (Form 1040) OMB No. 1545-0074 Capital Gains and Losses Department of the Treasury Internal Revenue Service (99) Attach to Form 1040 or Form 1040NR. Go to www.irs.gov/Scheduled for instructions and the latest information. Use Form 8949 to list your transactions for lines 1b, 2, 3, , 9, and 10. 2018 Attachment Sequence No. 12 Name(s) shown on return Your social security number Walter and Skylar Black 700-01-0002 Part 1 Short-Term Capital Gains and Losses-Generally Assets Held One Year or Less (see instructions) (h) Gain or See instructions for how to figure the amounts to enter on the (loss) lines below. Adjustments to Subtract column (d) (e) gain or loss from (e) from column Proceeds (sales Cost (or other Form(s) 8949, Part (d) and combine This form may be easier to complete if you round off cents to orice) bas 1. line 2, column the result with whole dollars. (9) colunin (a) la Totals for all short-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 1b 1b Totals for all transactions reported on Form's) 8949 with Box A checked 2 Totals for all transactions reported on Form(s) 9949 with Box B checked 3 Totals for all transactions reported on Form(s) 8949 with Box checked Check Ny Work AN WORD Box C checked 4 Short-term gain from Form 6252 and short-term gain or loss) from Forms 4684, 6781, and 8824..... 4 5 Net short-term gain or loss) from partnerships, S corporations, estates, and trusts from Schedule(s) K-1 5 6 Short-term capital loss carryover. Enter the amount, if any, from line 8 of your Capital Loss Carryover Worksheet in the instructions. 6 7 Net short-term capital gain or (loss). Combine lines ia through 6 in columin (h). If you have any long-term capital gains or losses, go to Part II below. Otherwise, go to Part III on the back 7 Part II Long-Term Capital Gains and Losses-Generally Assets Held More Than One Year (see instructions) See instructions for how to figure the amounts to enter on the lines below. (d) Proceeds (sales price) (e) Cost (or other basis) (9) Adjustments to gain or loss from Form(s) 8949, Part IT, line 2 column ca (h) Gain or (loss) Subtract column (e) from column (d) and combine the result with column (0) This form may be easier to complete if you round off cents to whole dollars Sa Totals for all long-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 3 Bb Totals for all transactions reported on Form(s) 8949 with Box D checked 9 Totals for all transactions reported on Form(s) 8949 with Box E checked 10 Totals for all transactions reported on Form(s) 8949 with Box F checked 604,000 76,000 X -250,000 x 11 Gain from Form 4797. Part 1: long-term gain from Forms 2439 and 6252 and long-term gain or loss) from 11 Forms 4084, 6781, and 8824 12 Net long-term gain or loss) from partnerships. S corporations, estates, and trusts from Schedule 12 13 Capital gain distributions. See the instructions 13 278,000 x 0 X Check My Work Assignment Score: 12.5% All work saved. gain or loss) from partnerships, S corporations, estates, and trusts from Schedule(s) K-1 12 13 Capital gain distributions. See the instructions ... 13 0 X 14 Long-term capital loss carryover. Enter the amount, if any, from line 13 of your Capital Loss Carryover Worksheet in the instructions .. 14 15 Net long-term capital gain or (loss). Combine lines 8a through 14 in column (h). Then go to Part III on the back 15 278,000 X For Paperwork Reduction Act Notice, see your tax return instructions. Cat. No. 11338H Schedule D (Form 1040) 2018 Schedule D (Form 1040) 2018 Walter and Skylar Black 700-01-0002 Page 2 Part II Summary 16 16 Combine lines 7 and 15 and enter the result. If line 16 is a gain, enter the amount from line 16 on Schedule 1 (Form 1040), line 13, or Form 1040NR. line 14. Then go to line 17 below. If line 16 is a loss, skip lines 17 through 20 below. Then go to line 21. Also be sure to complete line 22. If line 16 is zero, skip lines 17 through 21 below and enter-D. on Schedule 1 (Form 1040), line 13, or Form 1040NR, line 14. Then go to line 22. 17 Are lines 15 and 16 both gains? Yes. Go to line 18 No. Skip lines 18 through 21, and go to line 22 18 If you are required to complete the 28% Rate Gain Worksheet (see Instructions), enter the amount, it any, from line 7 of that worksheet. 13 19 If you are required to complete the Unrecaptured Section 1250 Gain Worksheet (see instructions, enter the amount, if any, from line 18 of that worksheet 19 20 Are Ines 18 and 19 both zero or blank? Yes. Complete the Qualified Dividends and Capital Gain Tax Worksheet la the instructions for Form 1040, line 11a (or in the instructions for Form 1040NR, line 42). Don't complete res 21 and 22 below. Check My Work OMB No. 1545-0074 Form 8949 Sales and Other Dispositions of Capital Assets Department of the Go to www.irs.gov/ Form8949 for instructions and the latest information. 2018 Treasury Internal File with your Schedule D to list your transactions for lines 1b, 2, 3, 8, 9, and 10 of Attachment Revenue Service Schedule D. Sequence No. 12A Name(s) shown on return Social security number or taxpayer identification number Walter and Skylar Black 700-01-0002 Before you check Box A, B, or below, see whether you received any Form(s) 1099-B or substitute statement(s) from your broker. A substitute statement will have the same information as Form 1099-8. Either will show whether your basis (usually your cost) was reported to the IRS by your broker and may even tell you which box to check. Part 1 Short-Term. Transactions involving capital assets you held 1 year or less are generally short-term (see instructions). For long- term transactions, see page 2. Note: You may aggregate all short-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS and for which no adjustments or codes are required. Enter the total directly on Schedule D, line 1a; you aren't required to report these transactions on Form 8949 (see instructions). You must check Box A, B, or C below. Check only one box. If more than one box applies for your short-term transactions, complete a separate Form 8949, page 1, for each applicable box. If you have more short-term transactions than will fit on this page for one or more of the boxes, complete as many forms with the same box checked as you need. (A) Short-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS (see Note above) (B) Short-term transactions reported on Form(s) 1099-8 showing basis wasn't reported to the IRS (C) Short-term transactions not reported to you on Form 1099-B 1 (h) Adjustment, if any, to gain or Gain or (e) loss. If you enter an amount in (loss) Cost or other column (o), enter a code in column Subtract (d) (a) basis. See the (f). See the separate instructions. column (e) (b) Proceeds Description of property Date sold or Note below from column Date acquired (sales price (Example: 100 sh.XYZ disposed of and see (d) and (Mo., day, y.) (see (f) (9) Co.) (Mo., day, yr.) Column (e) in combine the instructions Code(s) from Amount of the separate result with Instructions adjustment instructions column (0) Chapter 4 Comprehensive Problem eBook (a) (b) Description of property Date acquired (Example: 100 sh.XYZ (Mg, day, VH). Co.) Date sold or disposed of (Mo., day, yr.) Calculator Cost or outer (d) basis. See the (). See the separate instructions. Proceeds Note below (sales price) and see (see (1) (9) Column (e) in instructions) Code(s) from Amount of the separate instructions adjustment instructions SULTE column (e) from column (d) and combine the result with column (o) 2 Totals. Add the amounts in columns (d), (e). (b), and (h) (subtract negative amounts). Enter each total here and include on your schedule D line 1b (if Box A above is checked), line 2 (If Box B above is checked), or line 3 (If Box Cabove is checked) Note: If you checked Box A above but the basis reported to the IRS was incorrect enter in column (e) the basis as reported to the IRS, and enter an adjustment in column (o) to correct the basis. See Column() in the separate Instructions for how to figure the amount of the dictant (e), (0), and (h) (subtract negative amounts). Enter each total here and include on your schedule D, line 1b (if Box A above is checked), line 2 (if Box B above is checked), or line 3 (if Box C above is checked) Note: If you checked Box A above but the basis reported to the IRS was incorrect, enter in column (e) the basis as reported to the IRS, and enter an adjustment in column (a) to correct the basis. See Column() in the separate instructions for how to figure the amount of the adjustment. For Paperwork Reduction Act Notice, see your tax return instructions. Cat. No. 37768Z Form 8949 (2018) Form 8949 (2018) Attachment Sequence No. 12A Page 2 Name(s) shown on return. Name and SSN or taxpayer identification no. not Social security number or taxpayer identification number required if shown on other side Walter and Skylar Black 700-01-0002 Before you check Box D, E, or F below, see whether you received any Form(s) 1099-8 or substitute statement(s) from your broker. A substitute statement will have the same information as Form 1099-8. Either will show whether your basis (usually your cost) was reported to the IRS by your broker and may even tell you which box to check. Part II Long-Term. Transactions involving capital assets you held more than 1 year are generally long-term (see instructions). For short- term transactions, see page 1. Note: You may aggregate all long-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS and for which no adjustments or codes are required. Enter the total directly on Schedule D line 8a; you aren't required to report these transactions on Form 8949 (see instructions). You must check Box D, E, or F below. Check only one box. If more than one box applies for your long-term transactions, complete a separate Form 8949, page 2, for each applicable box. If you have more long-term transactions than will fit on this page for one or more of the boxes, complete as many forms with the same box checked as you need. (D) Long-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS (see Note above) (E) Long-term transactions reported on Form(s) 1099-B showing basis wasn't reported to the IRS (F) Long-term transactions not reported to you on Form 1099-3 1 Adjustment, if any, to gain or loss. If you enter an amount in column (9) (h) Gain or (e) (a) Description of property (Example: 100 sh.XYZ Co.) (b) Date acquired (Mo., day, yr.) (c) Date sold or disposed of (Mo., day, yr.) (d) Proceeds (sales price) (see instructions) (e) Cost or other basis. See the Note below and see Column (e) in the separate instructions Adjustment, if any, to gain or loss. If (h) you enter an amount in column (o), Gain or enter a code in column (f). See the (loss). separate instructions. Subtract column (e) from column (d) and (9) combine the Code(s) from Amount of result with instructions adjustment column (0) Maine principal residence 07/03/93 01/04/18 Check My Work Assignment Score: 12.5% 2 Totals. Add the amounts in columns (d), (e), (o), and (h) (subtract negative amounts). Enter each total here and include on your schedule D, line 8b (if Box D above is checked), line 9 (if Box E above is checked), or line 10 (if Box F above is checked) Note: If you checked Box D above but the basis reported to the IRS was incorrect, enter in column (e) the basis as reported to the IRS, and enter an adjustment in column (o) to correct the basis. See Column (o) in the separate instructions for how to figure the amount of the adjustment Form 8949 (2018) Feedback Check My Work Incorrect CCS DIGITTE Supplemental Income and Loss SCHEDULE E OMB No. 1545-0074 (Form 1040) Department of the (From rental real estate, royalties, partnerships, Scorporations, estates, trusts, REMICS, 2018 Treasury Internal etc.) Revenue Service Attach to Form 1040, 1040NR, or Form 1041. Attachment (99) Go to www.irs.gov/Schedules for instructions and the latest information. Sequence No. 13 Name(s) shown on return Your social security number Walter and Skylar Black 700-01.0002 Part 1 Income or Loss From Rental Real Estate and Royalties Note: If you are in the business of renting personal property, use Schedule C or C-EZ (see instructions). If you are an individual, report farm rental income or loss from Form 4835 on page 2, line 40 A Did you make any payments in 2018 that would require you to file Form(s) 10997 (see instructions) Yes No B If "Yes," did you or will you file required Forms 10997 Yes No la Physical address of each property (street, city, state, ZIP code) 123 Buncombe Lane, Brian Head, UT 84719 B 1b Type of Property (from list below Fair Rental Days Personal Use Days QJV 2 For each rental real estate property listed above, report the number of fair rental and personal use days. Check the QJV box only if you meet the requirements to file as a qualified joint venture. See instructions B Type of Property: 1 Single Family Residence 2 Multi-Family Residence 3 Vacation/Short-Term Rental 5 Land 7 Self-Rental 8 Other (describe 4 Commercial 6 Royalties Income: Properties: B 3 Rents received 3 4 Royalties received Ernance M CBOOK Calculator 4 4 Royalties received Expenses: 5 Advertising ... 6 Auto and travel (see instructions) 7 Cleaning and maintenance 5 6 7 8 Commissions.. 8 9 Insurance. Legal and other professional fees 10 10 11 Management fees.. 11 12 12 Mortgage interest paid to banks, etc. (see instructions) Other interest 13 13 14 14 Repairs. 15 Supplies 15 16 Taxes 16 17 Utilities 17 18 18 Depreciation expense or depletion .. Other (list) Homeowners' dues 19 19 20 20 Total expenses. Add lines 5 through 19.... 21 Subtract line 20 from line 3 (rents) and/or 4 (royalties). If result is a (loss), see instructions to find out if you must file Form 6198..... 22 Deductible rental real estate loss after limitation, if any, on Form 8582 (see instructions) 21 22 23a 23a total of all amounts reported on line 3 for all rental properties b Total of all amounts reported on line 4 for all royalty properties 23 Total of all amounts reported on line 12 for all properties 230 d Total of all amounts reported on line 18 for all properties 23d 19 Other (list) Homeowners' dues 19 20 20 21 Total expenses. Add lines 5 through 19. Subtract line 20 from line 3 (rents) and/or 4 (royalties). If result is a (loss), see instructions to find out if you must file Form 6198 21 22 Deductible rental real estate loss after limitation, if any, on Form 8582 (see instructions). 22 23a Total of all amounts reported on line 3 for all rental properties DC 23a b Total of all amounts reported on line 4 for all royalty properties 23b c Total of all amounts reported on line 12 for all properties 23c d Total of all amounts reported on line 18 for all properties 23d e Total of all amounts reported on line 20 for all properties 23e 24 Income. Add positive amounts shown on line 21. Do not include any losses 24 25 Losses. Add royalty losses from line 21 and rental real estate losses from line 22. Enter total losses here 25 26 Total rental real estate and royalty income or (loss). Combine lines 24 and 25. Enter the result here. If Parts II, III, IV, and line 40 on page 2 do not apply to you, also enter this amount on Schedule 1 (Form 1040), line 17, or Form 1040NR, line 18. Otherwise, include this amount in the total on line 41 on page 2 26 For Paperwork Reduction Act Notice, see the separate instructions. Cat. No. 11344L Schedule E (Form 1040) 2018 Feedback Check My World Incorrect Feedback gue For 8349 Schedule E Form 8582 Form 8582 Complete the Blacks' Form 8582 Note: Only page 1 of the tax form is required. Special instructions for Form 8582: If required, use the minus sign to enter a "loss" as a negative number on the lines 1d, 4, and 16. However, per the instructions on the tax return, enter all numbers in Part II as positive amounts. Form 8582 OMB No. 1545-1008 Department of the Treasury Internal Revenue Service (99) Passive Activity Loss Limitations See separate instructions. Attach to Form 1040 or Form 1041. Go to www.irs.gov/Form8582 for instructions and the latest information. 2018 Attachment Sequence No. 88 Identifying number 700-01-0002 Name(s) shown on return Walter and Skylar Black Part 1 2018 Passive Activity Loss Caution: Complete Worksheets 1, 2, and 3 before completing Part 1 Rental Real Estate Activities With Active Participation (For the definition of active participation, see Special Allowance for Rental Real Estate Activities in the instructions.) la Activities with net income Center the amount from Worksheet 1, column (a)) la b Activities with net loss (enter the amount from Worksheet 1, column (b)) 1b Prior years' unallowed losses (enter the amount from Worksheet 1, column 1c 1d Combine lines 1a, 1b, and ic... Commercial Revitalization Deductions From Rental Real Estate Activities 2a Commercial revitalization deductions from Worksheet 2 column (a) .... b Prior Year unallowed commercial revitalization deductions from Worksheet 2 column (b) Add lines 2a and 2b 2a 2b 2cc Activities with net loss (enter the amount from worksheets, com (0) SD C Prior years' unallowed losses (enter the amount from Worksheet 3, column (c)).... 3c ( d Combine lines 3a, 3b, and 3c.. 3d 4 Combine lines id, 2c, and 3d. If this line is zero or more, stop here and include this form with your return; all losses are allowed, including any prior year unallowed losses entered on line 1c, 2b, or 3c. Report the losses on the forms and schedules normally used 4 If line 4 is a loss and: Line id is a loss, go to Part II Line 2c is a loss (and line 1d is zero or more), skip Part II and go to Part III. Line 3d is a loss (and lines 1d and 2c are zero or more), skip Parts II and III and go to line 15 Caution: If your filing status is married filing separately and you lived with your spouse at any time during the year, do not complete Part II or Part IIT. Instead, go to line 15. Part II Special Allowance for Rental Real Estate Activities With Active Participation Note: Enter all numbers in Part II as positive amounts. See instructions for an example. 5 Enter the smaller of the loss on line 1d or the loss on line 4 5 Enter $150,000. If married filing separately, see instructions 6 7 Enter modified adjusted gross income, but not less than zero (see instructions) 7 Note: If line 7 is greater than or equal to Nne 6, skip lines 8 and 9, enter -- on line 10. Otherwise, go to line 8. 8 Subtract line 7 from line 6 8 9 Multiply line 8 by 50% (0.5). Do not enter more than $25,000. If married filing separately, see instructions 6 10 10 Enter the smaller of line 5 or line 9.... If line 2c is a loss, go to Part III. Otherwise, go to line 15. Part III Special Allowance for Commercial Revitalization Deductions From Rental Real Estate Activities Note: Enter all numbers in Part Ill as positive amounts. See the example for Part Il in the instructions 11 Enter $25,000 reduced by the amount, if any, on line 10. If married filing separately, see Instructions 11 12 Enter the loss from line 4 12 9 Multiply line 8 by 50% (0.5). Do not enter more than $25,000. If married filing separately, see Instructions 9 10 Enter the smaller of line 5 or line 9 10 If line 2c is a loss, go to Part III. Otherwise, go to line 15 Part III Special Allowance for Commercial Revitalization Deductions From Rental Real Estate Activities Note: Enter all numbers in Part III as positive amounts. See the example for Part II in the instructions. 11 Enter $25,000 reduced by the amount, if any, on line 10. If married filing separately, see instructions 11 12 Enter the loss from line 4 12 13 Reduce line 12 by the amount on line 10. 13 14 Enter the smallest of line 2c (treated as a positive amount), line 11, or line 13. 14 Part IV Total Losses Allowed 15 Add the income, if any, on lines la and 3a and enter the total... 15 16 Total losses allowed from all passive activities for 2018. Add lines 10, 14, and 15. See instructions to find out how to report the losses on your tax return. For Paperwork Reduction Act Notice, see instructions. Cat. No. 63704F 16 Form 8582 (2018) Feedback Check My Wor Incorrect Feedback Check My Work nent Score: 12.5% All work saved Qualified Dividends and Capital Gain Tax Worksheet-Line 11a Keep for Your Records Before you begin: See the earlier instructions for line 11a to see if you can use this worksheet to figure your tax. Before completing this worksheet, complete Form 1040 through line 10. If you don't have to file Schedule D and you received capital gain distributions, be sure you checked the box on line 13 of Schedule 1. 1. Enter the amount from Form 1040, line 10. However, if you are filing Form 2555 or 2555-EZ (relating to foreign eamed income), enter the amount from line 3 of the Foreign Earned Income Tax Worksheet ... 2. 2. Enter the amount from Form 1040, line 3a" 3. Are you filing Schedule ?" Enter the smaller of line 15 or 16 of Schedule D. If either line 15 or line 16 is blank or a loss, enter.0- Enter the amount from Schedule 1, line 13 4. Add lines 2 and 3 4. 5. If filing Form 4952 (used to figure investment interest expense deduction), enter any amount from line 49 of that form. Otherwise, enter-O- 6. Subtract line 5 from line 4. If zero or less, enter -0. 5. 6. 7. Subtract line 6 from line 1. If zero or less, enter.o. 7. 3. Enter 8. $38,600 If single or married filing separately, $77,200 if married filing jointly or qualifying widow(er). $51,700 If head of household. 9. Enter the smaller of line 1 or line 8. Check My Work 351,700 1 head or household 9. Enter the smaller of line 1 or line 8. 9. 10. Enter the smaller of line 7 or line 9. 10. 11. Subtract line 10 from line 9. This amount is taxed at 0% 11. 12. Enter the smaller of line 1 or line 6... 12. 13. Enter the amount from line 11 13. 14. Subtract line 13 from line 12..... 14. 15. Enter: $425,800 if single, $239,500 if married filing separately. 15. $479,000 if married filing jointly or qualifying widower), $452,400 if head of household. 16. Enter the smaller of line 1 or line 15. 16. 17. Add lines 7 and 11. 17. 18. Subtract line 17 from line 16. If zero or less, enter-O-. 18. 19. Enter the smaller of line 14 or line 18 19. 20. Multiply line 19 by 15% (0.15) 20. 21. Add lines 11 and 19 21. 22. Subtract line 21 from line 12 22. 23. Multiply line 22 by 20% (0.20). 23. 24. Figure the tax on the amount on line 7. If the amount on line 7 is less than $100.000, use the Tax Table to figure the tax. If the amount on line 7 is $100,000 or more, use the Tax Computation Worksheet 24. 25. Add lines 20, 23, and 24 25. 26. Figure the tax on the amount on line 1. If the amount on line 1 is less than $100.000, use the Tax Table to fiouro the tax. If the amount on line 1 is $100,000 or more, use the Tax Computation Worksheet 26. 27. Tax on all taxable income. Enter the smaller of line 25 or line 26. Also include this amount on the entry space on Form 1040, linella. If you are filing Form 2555 or 2555-Ez, don't enter this amount on the entry space on Form 1640 in 11. Instead, antar it online of the Enrainn Feed Income Tax worksheet 22 16. Enter the smaller of line 1 or line 15 16. 17. Add lines 7 and 11. 17. 18. Subtract line 17 from line 16. If zero or less, enter -0. 18. 19. Enter the smaller of line 14 or line 18. 19. 20. Multiply line 19 by 15% (0.15) 20. 21. Add lines 11 and 19 21. 22. Subtract line 21 from line 12 22. 23. 23. Multiply line 22 by 20% (0.20) 24. Figure the tax on the amount on line 7. If the amount on line 7 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 7 is $100,000 or more, use the Tax Computation Worksheet. 25. Add lines 20, 23, and 24. 24. 25. UNIT 26. Figure the tax on the amount on line 1. If the amount on line 1 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 1 is $100,000 or more, use the Tax Computation Worksheet ......... 26. 27. Tax on all taxable income. Enter the smaller of line 25 or line 26. Also include this amount on the entry space on Form 1040, line 11a. If you are filing Form 2555 or 2555-Ez, don't enter this amount on the entry space on Form 1040, line 11a. Instead, enter it on line 4 of the Foreign Earned Income Tax Worksheet ..... 27. "If you are filing Form 2555 or 2555-EZ, see the footnote in the Foreign Earned Income Tax Worksheet before completing this line. Feedback Check My Wor Incorrect Feedback Check My Work hapter 4 Comprehensive Problem eBook Calculator Skylar and Walter Black have been married for 25 years. They live at 883 Scrub Brush Street, Apt. 528, Las Vegas, NV 89125. Skylar sa homemaker and Walter is a high school teacher. His W-2 form is located on the next tab. Skylar's Social Security number is 222-43-7690 and Walt's is 700-01-0002. Neither are age 65 or older. The Blacks provide all the support for Skylar's mother, Rebecca Backin (Social Security number 411 66-2121), who lives in a nursing home in Reno, NV and has no income. Walter's father, Alton Black (Social Security number 343-22-8899) Ilves with the Blacks in Las Vegas. Although Alton received Social Security benefits of $7,600 in 2018, the Blades provide over half of Alton's support. The Blacks moved from Maine to Nevada. As a result, they sold their house in Maine on January 4, 2013. The originally paid $76.000 for the home on July 3, 1993, but managed to sell it for $604,000. They spent $13,000 on improvements over the years. They are currently renting in Las Vegas while they look for a new home. The school district reimbursed Waiter $550 for moving expenses. These are reflected on his W-2 (see separate tab). Walter's previous job as a high school teacher in Maine, was only 5 miles from his home. Skylar was unemployed prior to the move The Blacks received a 1099-DIV from their mutual fund investments (see separate tab). The Blacks own a slicando located at 123 Buncombe Lane, Brian Head, UT 84719. The condo was rented for 184 days during 2015 and used by the Blacks for 16 days. Pertinent information about the condo rentals as follows: $12.000 3.600 Rental income Mortgage Interest reported on Form 1098 Homeowners' association dues Us 5.200 1,200 3,800 Maintenance Deprecation (assume fully depreciated) 0 The amounts do not reflect any allocation between mental and person of the condo. The Blacks are active managers of the condo Required: Camplete Form 1040 and the schedules and forms provided for the lacks Assume the taxpayers had health coverage for the entire year Neither taxpayers wants to contribute to the presidential election campaign If an amount box does not require an entry or the answer is zero, enter Do not round any percentages If required round your answers to the nearest dollar If required, enterosas a negative number on the tax for. Do not enter deductions as negative numbers. Special Instructions for Form 582: If required, use the minus sige to enter a los negative number on the lines Id. 4 and 16. However per the lastructions on the tax return, enter at hunbers in Part 11 as positive antounts Check My Way Instructions Walter's Forms W-2 and 1099-DIV Form 1040 Schedule 1 Schedule D Form 6949 Schedule E Form 9582 Qualified Divid Walter's Forms W-2 and 1099-DIV Walter's earnings from teaching are: a Employee's social security number 700-01-0002 OMB No. 1545-0008 Safe, accurate, FAST! Use IR e file Visit the IRS website at www.in.gov/ b Employer identification number (EIN) 31-1238967 1 Wages, tips, other compensation 50,900.00 2 Federal income tax withheld 4,320.00 3 Social security wages 50,900.00 C Employer's name, address, and ZIP code Las Vegas School District 2234 Vegas Valley Drive Las Vegas, NV 89169 4 Social security tax withheld 3,155.80 6 Medicare tax withheld 738.05 5 Medicare wages and tips 50,900.00 7 Social security tips 8 Allocated tips d Control number 9 Verification code 10 Dependent care benefits Suff. 11 Nonqualified plans 12a See instructions for box 12 e Employee's first name and initial Last name Walter Black 883 Scrub Brush Street, Apt # 52B Las Vegas, NV 89125 DD 7,800.00 12b 13 Statutory employee Retirement Third-party plan sick pay 14 Other 120 Check My Work pter 4 Comprehensive Problem eBook Calculator 12d | Employee's address and ZIP code 15 Employer's 16 State wages, tips, State state ID number etc 17 State Income tax 18 Local wages, tips, etc. 20 Locality name 19 Local Income tax NV Wage and Tax Statement Department of the Treasury ---Internal Revenue Service Form W-2 2018 Copy B-To Be Filed with Employee's FEDERAL Tax Return This information is being furnished to the Internal Revenue Service The Blacks received the following 1099-DIV from their mutual fund investments: CORRECTED I checked) PAYER'S name, street address, city or town, state or province la Total ordinary country, ZIP or foreign postal code, and telephone no dividends 37 PHI 145-gioi $1,400.00 2018 Dividends and Distributions 1b Qualredelidends Cyber Funds Equities Fund 41 Wall Street New York, NY 10005 $ 998.00 For 1099-DIV 2a Total gain ciste 26 recap 1250 Q $ 6,543.12 Check My Work hapter 4 Comprehensive Problem eBook Calculator $ 6,543.12 PAYER'S TIN RECIPIENT'S TIN 2c Section 1202 gain 2d Collectibles (28%) gain 17-1234326 222-43-7690 $ $ RECIPIENT'S name 3 Nondividend distributions 4 Federal income tax withheld Skylar B. Black Copy B $ $ For Recipient 5 Section 199A dividends 6 Investment expenses Street address (including apt. no.) $ 883 Scrub Brush Street #528 7 Foreign tax paid 8 Foreign country or U.S. possession City or town, state or province, country, and ZIP or foreign postal code $ This is important tax information and is being furnished to the IRS. If you are required to file a return, a negligence penalty or other sanction may be imposed on you if this income is taxable and the IRS determines that It has not been reported 9 Cash liquidation distributions 10 Noncash liquidation distributions Las Vegas, NV 89125 $ $ FATCA filing 11 Exempt Interest requirement dividends 12 Specified private activity bond interest dividends 5 Account number (see instructions) 13 State 14 State 15 State tax withheld identifications ro 5 Form 1099-DIV keep for your records) wasigov/Form10930 Department of the Treasury - Internal Revenue Service Instructions Walter's Forms W-2 and 1099-DIV Form 1040 Schedule 1 Schedule D Form 8949 Schedule E Form 8582 Qualified DI Form 1040 Complete Form 1040 for Walter and Skylar Black. Form Department of the Treasury--Internal Revenue Service (99) 1040 U.S. Individual Income Tax Return Filing status: Married filing jointly 2018 OMB No. 1545-0074 IRS Use Only Your first name and initial Walter Last name Black Your social security number 700-01-0002 Your standard deduction: None If joint return, spouse's first name and initial Skylar Last name Black Spouse's social security number 222.43.7690 Spouse standard deduction: None Yes y Full-year health care coverage or exempt (see inst. Home address (number and street). If you have a P.O. box, see instructions 383 Scrub Brush Street Apt. no. 52B Presidential Election Campaign (see inst. None City, town or post office, state, and ZIP code. If you have a foreign address, attach Schedule 6. If more than four dependents, see Las Vegas, NV 89125 inst. and here Dependents (see instructions): (2) Social security number (3) Relationship to you (4) If qualities for (see inst.): (1) First name Last name Child tax credit Credit for other dependents Rebecca Backin 411-66-2121 Mother No v Yes v Alton Black 343-22-8899 Father Nov You Sign Under penalties of perjury, I declare that I have examined this retum and accompanying schedules and statements, and to the best of my knowledge and belief, they are true correct and complete. Declaration of preparen other than Check My Work Sign Here Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief, they are true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge. Your signature Date Your occupation If the IRS sent you an Identity Teacher Protection PIN, enter it here (see inst.) Joint return? See instructions. Keep a copy for your records. Spouse's signature. If a joint return, both must sign. Date Spouse's occupation Homemaker If the IRS sent you an Identity Protection PIN, enter it here (see inst.) Preparer's name Preparer's signature PTIN Firm's EIN Check : Firm's name Paid Preparer Use Only Phone no. 3rd Party Designer Firm's address Self employed For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. Cat No. 11320B Form 1040 (2018) Form 1040 (2018) Walter and Skylar Black 700-01-0002 Page 2 1 Wages, salaries, tips, etc. Attach Form(s) W-2. 1 50,900 2a Tax-exempt interest 2a b Taxable interest 2b 3a 3b 1,400 4b Attach Form(s) W. 2. Also attach Form(s) W-2G and 1099-R if tax was withheld Qualified dividends 30 998 b Ordinary dividends IRAS, pensions, and 4a b Taxable amount annuities Social security benefits Sa b Taxable amount Total income. Add lines I through 5. Add any amount from schedule line 22 5a 5b 6 7 Adjusted gross income. If you have no adjustments to Income, enter the amount from line 5; otherwise, subtract Schedule le 35 from Ine 6 2 Standard Standard deduction or itemized deductions from Schedule 8 prehensive Problem eBook Calculator Adjusted gross income. If you have no adjustments to income, enter the amount from line 6; otherwise, subtract Schedule 1, line 36, from line 6 7 Standard 8 Standard deduction or itemized deductions (from Schedule A).. 8 Deduction for 9 Qualified business income deduction (see instructions) ....... 9 Single or married filing separately, 10 Taxable income. Subtract lines 8 and 9 from line 7. If zero or less, enter .0.... 10 $12,000 11 a Tax (see inst) (check if any from: 1 Form(s) 88142 Form 4972 Married filling 30 jointly or Qualifying b Add any amount from Schedule 2 and check here 11 widow(er). $24,000 Head of 12 a Child tax credit/credit for other dependents household, b Add any amount from Schedule 3 and check here 12 $18,000 13 Subtract line 12 from line 11. If zero or less, enter -0. 13 If you checked 14 14 any box under Other taxes. Attach Schedule 4. Standard 15 Total tax. Add lines 13 and 14.. 15 deduction, see 16 Federal income tax withheld from Forms W-2 and 1099 16 instructions. 17 Refundable credits: a EIC (see inst.) b Sch 8812 c Form 8863 Add any amount from Schedule 5 17 18 Add lines 16 and 17. These are your total payments 18 Refund 19 If line 18 is more than line 15, subtract line 15 from line 18. This is the amount you overpaid 19 20a Amount of line 19 you want refunded to you. If Form 8888 is attached, check here 20a Direct deposit? b Routing number - Type: Checking Savings See instructions d Account number 21 22 Amount of line 19 you want applied to your 2019 estimated tax 21 Amount you owe. Subtract line 18 from line 13. For details on how to a Instructions Estimated tax penalty (see Instructions 23 Amount You Owe 22 23 USCITUDIOS SCHEDULE 1 OMB No. 1545-0074 (Form 1040) Additional Income and Adjustments to Income 2018 Department of the Treasury Internal Attach to Form 1040. Attachment Revenue Service Go to www.irs.gov/Form1040 for instructions and the latest information. Sequence No. 01 Name(s) shown on Form 1040 Your social security number Walter and Skylar Black 700-01-0002 Additional 1-9b Reserved ... 1-9b Income 10 Taxable refunds, credits, or offsets of state and local income taxes 10 11 Alimony received 11 12 Business income or loss). Attach Schedule C or C-EZ 12 13 Capital gain or (loss). Attach Schedule D if required. If not required, check here 13 14 Other gains or losses). Attach Form 4797 14 15a Reserved 15b 16a Reserved 16b 17 Rental real estate, royalties, partnerships, S corporations, trusts, etc. Attach Schedule E 17 18 Farm income or (loss). Attach Schedule 18 19 Unemployment compensation 19 20a Reserved. 20b 21 Other income. List type and amount 21 22 Combine the amounts in the far right column. If you don't have any adjustments to income, enter here and include on Form 1040, line 6. Otherwise, go to line 23 22 Adjustments 23 Educator expenses 23 to Income 24 Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 2106 24 Check My Work Instructions Walter's Forms W-2 and 1099-DIV Form 1040 Schedule 1 Schedule D Form 1919 Schedule E Form 3582 Qualified Divi Schedule D Complete the Blacks' Schedule D. SCHEDULED (Form 1040) OMB No. 1545-0074 Capital Gains and Losses Department of the Treasury Internal Revenue Service (99) Attach to Form 1040 or Form 1040NR. Go to www.irs.gov/Scheduled for instructions and the latest information. Use Form 8949 to list your transactions for lines 1b, 2, 3, , 9, and 10. 2018 Attachment Sequence No. 12 Name(s) shown on return Your social security number Walter and Skylar Black 700-01-0002 Part 1 Short-Term Capital Gains and Losses-Generally Assets Held One Year or Less (see instructions) (h) Gain or See instructions for how to figure the amounts to enter on the (loss) lines below. Adjustments to Subtract column (d) (e) gain or loss from (e) from column Proceeds (sales Cost (or other Form(s) 8949, Part (d) and combine This form may be easier to complete if you round off cents to orice) bas 1. line 2, column the result with whole dollars. (9) colunin (a) la Totals for all short-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 1b 1b Totals for all transactions reported on Form's) 8949 with Box A checked 2 Totals for all transactions reported on Form(s) 9949 with Box B checked 3 Totals for all transactions reported on Form(s) 8949 with Box checked Check Ny Work AN WORD Box C checked 4 Short-term gain from Form 6252 and short-term gain or loss) from Forms 4684, 6781, and 8824..... 4 5 Net short-term gain or loss) from partnerships, S corporations, estates, and trusts from Schedule(s) K-1 5 6 Short-term capital loss carryover. Enter the amount, if any, from line 8 of your Capital Loss Carryover Worksheet in the instructions. 6 7 Net short-term capital gain or (loss). Combine lines ia through 6 in columin (h). If you have any long-term capital gains or losses, go to Part II below. Otherwise, go to Part III on the back 7 Part II Long-Term Capital Gains and Losses-Generally Assets Held More Than One Year (see instructions) See instructions for how to figure the amounts to enter on the lines below. (d) Proceeds (sales price) (e) Cost (or other basis) (9) Adjustments to gain or loss from Form(s) 8949, Part IT, line 2 column ca (h) Gain or (loss) Subtract column (e) from column (d) and combine the result with column (0) This form may be easier to complete if you round off cents to whole dollars Sa Totals for all long-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 3 Bb Totals for all transactions reported on Form(s) 8949 with Box D checked 9 Totals for all transactions reported on Form(s) 8949 with Box E checked 10 Totals for all transactions reported on Form(s) 8949 with Box F checked 604,000 76,000 X -250,000 x 11 Gain from Form 4797. Part 1: long-term gain from Forms 2439 and 6252 and long-term gain or loss) from 11 Forms 4084, 6781, and 8824 12 Net long-term gain or loss) from partnerships. S corporations, estates, and trusts from Schedule 12 13 Capital gain distributions. See the instructions 13 278,000 x 0 X Check My Work Assignment Score: 12.5% All work saved. gain or loss) from partnerships, S corporations, estates, and trusts from Schedule(s) K-1 12 13 Capital gain distributions. See the instructions ... 13 0 X 14 Long-term capital loss carryover. Enter the amount, if any, from line 13 of your Capital Loss Carryover Worksheet in the instructions .. 14 15 Net long-term capital gain or (loss). Combine lines 8a through 14 in column (h). Then go to Part III on the back 15 278,000 X For Paperwork Reduction Act Notice, see your tax return instructions. Cat. No. 11338H Schedule D (Form 1040) 2018 Schedule D (Form 1040) 2018 Walter and Skylar Black 700-01-0002 Page 2 Part II Summary 16 16 Combine lines 7 and 15 and enter the result. If line 16 is a gain, enter the amount from line 16 on Schedule 1 (Form 1040), line 13, or Form 1040NR. line 14. Then go to line 17 below. If line 16 is a loss, skip lines 17 through 20 below. Then go to line 21. Also be sure to complete line 22. If line 16 is zero, skip lines 17 through 21 below and enter-D. on Schedule 1 (Form 1040), line 13, or Form 1040NR, line 14. Then go to line 22. 17 Are lines 15 and 16 both gains? Yes. Go to line 18 No. Skip lines 18 through 21, and go to line 22 18 If you are required to complete the 28% Rate Gain Worksheet (see Instructions), enter the amount, it any, from line 7 of that worksheet. 13 19 If you are required to complete the Unrecaptured Section 1250 Gain Worksheet (see instructions, enter the amount, if any, from line 18 of that worksheet 19 20 Are Ines 18 and 19 both zero or blank? Yes. Complete the Qualified Dividends and Capital Gain Tax Worksheet la the instructions for Form 1040, line 11a (or in the instructions for Form 1040NR, line 42). Don't complete res 21 and 22 below. Check My Work OMB No. 1545-0074 Form 8949 Sales and Other Dispositions of Capital Assets Department of the Go to www.irs.gov/ Form8949 for instructions and the latest information. 2018 Treasury Internal File with your Schedule D to list your transactions for lines 1b, 2, 3, 8, 9, and 10 of Attachment Revenue Service Schedule D. Sequence No. 12A Name(s) shown on return Social security number or taxpayer identification number Walter and Skylar Black 700-01-0002 Before you check Box A, B, or below, see whether you received any Form(s) 1099-B or substitute statement(s) from your broker. A substitute statement will have the same information as Form 1099-8. Either will show whether your basis (usually your cost) was reported to the IRS by your broker and may even tell you which box to check. Part 1 Short-Term. Transactions involving capital assets you held 1 year or less are generally short-term (see instructions). For long- term transactions, see page 2. Note: You may aggregate all short-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS and for which no adjustments or codes are required. Enter the total directly on Schedule D, line 1a; you aren't required to report these transactions on Form 8949 (see instructions). You must check Box A, B, or C below. Check only one box. If more than one box applies for your short-term transactions, complete a separate Form 8949, page 1, for each applicable box. If you have more short-term transactions than will fit on this page for one or more of the boxes, complete as many forms with the same box checked as you need. (A) Short-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS (see Note above) (B) Short-term transactions reported on Form(s) 1099-8 showing basis wasn't reported to the IRS (C) Short-term transactions not reported to you on Form 1099-B 1 (h) Adjustment, if any, to gain or Gain or (e) loss. If you enter an amount in (loss) Cost or other column (o), enter a code in column Subtract (d) (a) basis. See the (f). See the separate instructions. column (e) (b) Proceeds Description of property Date sold or Note below from column Date acquired (sales price (Example: 100 sh.XYZ disposed of and see (d) and (Mo., day, y.) (see (f) (9) Co.) (Mo., day, yr.) Column (e) in combine the instructions Code(s) from Amount of the separate result with Instructions adjustment instructions column (0) Chapter 4 Comprehensive Problem eBook (a) (b) Description of property Date acquired (Example: 100 sh.XYZ (Mg, day, VH). Co.) Date sold or disposed of (Mo., day, yr.) Calculator Cost or outer (d) basis. See the (). See the separate instructions. Proceeds Note below (sales price) and see (see (1) (9) Column (e) in instructions) Code(s) from Amount of the separate instructions adjustment instructions SULTE column (e) from column (d) and combine the result with column (o) 2 Totals. Add the amounts in columns (d), (e). (b), and (h) (subtract negative amounts). Enter each total here and include on your schedule D line 1b (if Box A above is checked), line 2 (If Box B above is checked), or line 3 (If Box Cabove is checked) Note: If you checked Box A above but the basis reported to the IRS was incorrect enter in column (e) the basis as reported to the IRS, and enter an adjustment in column (o) to correct the basis. See Column() in the separate Instructions for how to figure the amount of the dictant (e), (0), and (h) (subtract negative amounts). Enter each total here and include on your schedule D, line 1b (if Box A above is checked), line 2 (if Box B above is checked), or line 3 (if Box C above is checked) Note: If you checked Box A above but the basis reported to the IRS was incorrect, enter in column (e) the basis as reported to the IRS, and enter an adjustment in column (a) to correct the basis. See Column() in the separate instructions for how to figure the amount of the adjustment. For Paperwork Reduction Act Notice, see your tax return instructions. Cat. No. 37768Z Form 8949 (2018) Form 8949 (2018) Attachment Sequence No. 12A Page 2 Name(s) shown on return. Name and SSN or taxpayer identification no. not Social security number or taxpayer identification number required if shown on other side Walter and Skylar Black 700-01-0002 Before you check Box D, E, or F below, see whether you received any Form(s) 1099-8 or substitute statement(s) from your broker. A substitute statement will have the same information as Form 1099-8. Either will show whether your basis (usually your cost) was reported to the IRS by your broker and may even tell you which box to check. Part II Long-Term. Transactions involving capital assets you held more than 1 year are generally long-term (see instructions). For short- term transactions, see page 1. Note: You may aggregate all long-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS and for which no adjustments or codes are required. Enter the total directly on Schedule D line 8a; you aren't required to report these transactions on Form 8949 (see instructions). You must check Box D, E, or F below. Check only one box. If more than one box applies for your long-term transactions, complete a separate Form 8949, page 2, for each applicable box. If you have more long-term transactions than will fit on this page for one or more of the boxes, complete as many forms with the same box checked as you need. (D) Long-term transactions reported on Form(s) 1099-B showing basis was reported to the IRS (see Note above) (E) Long-term transactions reported on Form(s) 1099-B showing basis wasn't reported to the IRS (F) Long-term transactions not reported to you on Form 1099-3 1 Adjustment, if any, to gain or loss. If you enter an amount in column (9) (h) Gain or (e) (a) Description of property (Example: 100 sh.XYZ Co.) (b) Date acquired (Mo., day, yr.) (c) Date sold or disposed of (Mo., day, yr.) (d) Proceeds (sales price) (see instructions) (e) Cost or other basis. See the Note below and see Column (e) in the separate instructions Adjustment, if any, to gain or loss. If (h) you enter an amount in column (o), Gain or enter a code in column (f). See the (loss). separate instructions. Subtract column (e) from column (d) and (9) combine the Code(s) from Amount of result with instructions adjustment column (0) Maine principal residence 07/03/93 01/04/18 Check My Work Assignment Score: 12.5% 2 Totals. Add the amounts in columns (d), (e), (o), and (h) (subtract negative amounts). Enter each total here and include on your schedule D, line 8b (if Box D above is checked), line 9 (if Box E above is checked), or line 10 (if Box F above is checked) Note: If you checked Box D above but the basis reported to the IRS was incorrect, enter in column (e) the basis as reported to the IRS, and enter an adjustment in column (o) to correct the basis. See Co