Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I just need further explanation on how to do schedules 1040, SE, 8995, and schedules 1-3. Ive read the book and gotten through A-C. I
I just need further explanation on how to do schedules 1040, SE, 8995, and schedules 1-3. Ive read the book and gotten through A-C. I just need some directions.
I just an explanation for the 8995 and schedule b. I've looked at the tax laws but I'm confused about what laws are applicable in cases like this.
sorry schedule 3*
Dave also prepaid $33,000 in estimated federal income taxes. Prepare Dave and Sarah's 2020 tax return (Form 1040, Schedules 1, 2, 3, A, B, C, SE, and Form 8995). Disregard any tax credits for which they may be eligible and assume the couple has no transactions involving virtual currency. children-Andrew, age 8; Isaac, age 6; and Mira, age 3. The children's Social Security numbers are, respectively, 333-33-3333, 444-44-4444, and 555555555. They live at 12637 Pheasant Run, West Bend, Oregon 74658. They paid \$8,900 in qualified residence interest and $2,400 in property taxes on their home. They had cash charitable contributions of $14,000. They also paid $180 to a CPA for preparing their federal and state income tax returns for the prior year, $100 of which was for the preparation of Dave's Schedule C. Sarah and Dave earned interest on CDs of $3,200. Sarah's salary for the year is $32,000, from which $9,600 in federal income tax and $1,400 in state income tax were withheld. Dave's office is located at Suite 402, 942 Woodview Drive, Portland, Oregon 74624 , and his employer ID number is 11-1111111. Dave has been practicing for four years, and he uses the cash method of accounting. During 2020, Dave recorded the following items of income: The following expenses were recorded for the office: Dave pays $50 annually for use of a safety deposit box to store certain confidential documents related to his business. In addition to his medical practice, Dave spends 15 hours every week managing his real estate investments. To make sure he is aware of all current Dave also prepaid $33,000 in estimated federal income taxes. Prepare Dave and Sarah's 2020 tax return (Form 1040, Schedules 1, 2, 3, A, B, C, SE, and Form 8995). Disregard any tax credits for which they may be eligible and assume the couple has no transactions involving virtual currency. children-Andrew, age 8; Isaac, age 6; and Mira, age 3. The children's Social Security numbers are, respectively, 333-33-3333, 444-44-4444, and 555555555. They live at 12637 Pheasant Run, West Bend, Oregon 74658. They paid \$8,900 in qualified residence interest and $2,400 in property taxes on their home. They had cash charitable contributions of $14,000. They also paid $180 to a CPA for preparing their federal and state income tax returns for the prior year, $100 of which was for the preparation of Dave's Schedule C. Sarah and Dave earned interest on CDs of $3,200. Sarah's salary for the year is $32,000, from which $9,600 in federal income tax and $1,400 in state income tax were withheld. Dave's office is located at Suite 402, 942 Woodview Drive, Portland, Oregon 74624 , and his employer ID number is 11-1111111. Dave has been practicing for four years, and he uses the cash method of accounting. During 2020, Dave recorded the following items of income: The following expenses were recorded for the office: Dave pays $50 annually for use of a safety deposit box to store certain confidential documents related to his business. In addition to his medical practice, Dave spends 15 hours every week managing his real estate investments. To make sure he is aware of all current Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started