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I need help in this taxation problem. I have to use Taxslayer progam Tax Return Problem 1 John and Jane Doe are married taxpayers, who

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I need help in this taxation problem. I have to use Taxslayer progam

Tax Return Problem 1 John and Jane Doe are married taxpayers, who file a joint return for 2017. Jane's birthday is September 21, 1970 and John's is June 27, 1969. The Does live at 1313 Mockingbird Lane, Morrow, GA 30260. John 15 a mechanic at Stockbridge Motors and Jane is a substitute teacher for the Clayton County School District. They present you with W-2 forms that reflect the following information: Item John Jane Salary $56,000 $68,000 Federal Tax Withheld 6,000 7.000 State Income Tax Withheld 800 FICA (Social Security and Medicare Withheld) 4,300 5.200 Social Security Numbers 317-00-1234 310-00-1234 900 Jane has two children from a previous marriage who live with the Does during the school year: both children are high school students at Morrow High School and neither one works. The children, Luke and Laura Jones, live with their father, Rick, during the summer. Relevant information for the children follows: Luke 0225 2000 316-00-2367 Laura 01/07/1999 316-00-6789 Date of Birth Social Security Numbers Months lived with John and Jane Doe Months lived with Rick Jones Under the divorce decree, Rick pays child support of $ 150 per month per child during the nine months the children live with the Does. Rick says that he spends $200 per month per child during the three summer months they reside with him. Jane and John can document that they provide $2,500 support per child per year. The divorce decree is silent as to which parent can claim the exemptions for the children. In August, John and Jane added an addition to their home to provide accommodations for Sophia Smith (123-00-6786), Jane's mother, who had moved in with them in February of 2016 after the death of Jane's father. To finance the addition, John sold 300 shares of Ford Motor Company stock for $50 per share on May 5, 2017 and used the proceeds to cover the construction costs. The Does had purchased the stock on April 30, 2013, for $25 per share. They received dividends of $750 on the jointly-owned stock a month before the sale. Sophia, who is 67 years old, received $7,000 in Social Security benefits during the year, of which she gave the Does $2,000 to use toward household expenses and deposited the remainder in her personal savings account. The Does determined that they have spent $3,000 of their own money for food, clothing, transportation, and other items for Sophia. They do not know what the rental value of Sophia's accommodations would be, but they estimate it would be at least $350 per month Tax Return Problem 1 John and Jane Doe are married taxpayers, who file a joint return for 2017. Jane's birthday is September 21, 1970 and John's is June 27, 1969. The Does live at 1313 Mockingbird Lane, Morrow, GA 30260. John 15 a mechanic at Stockbridge Motors and Jane is a substitute teacher for the Clayton County School District. They present you with W-2 forms that reflect the following information: Item John Jane Salary $56,000 $68,000 Federal Tax Withheld 6,000 7.000 State Income Tax Withheld 800 FICA (Social Security and Medicare Withheld) 4,300 5.200 Social Security Numbers 317-00-1234 310-00-1234 900 Jane has two children from a previous marriage who live with the Does during the school year: both children are high school students at Morrow High School and neither one works. The children, Luke and Laura Jones, live with their father, Rick, during the summer. Relevant information for the children follows: Luke 0225 2000 316-00-2367 Laura 01/07/1999 316-00-6789 Date of Birth Social Security Numbers Months lived with John and Jane Doe Months lived with Rick Jones Under the divorce decree, Rick pays child support of $ 150 per month per child during the nine months the children live with the Does. Rick says that he spends $200 per month per child during the three summer months they reside with him. Jane and John can document that they provide $2,500 support per child per year. The divorce decree is silent as to which parent can claim the exemptions for the children. In August, John and Jane added an addition to their home to provide accommodations for Sophia Smith (123-00-6786), Jane's mother, who had moved in with them in February of 2016 after the death of Jane's father. To finance the addition, John sold 300 shares of Ford Motor Company stock for $50 per share on May 5, 2017 and used the proceeds to cover the construction costs. The Does had purchased the stock on April 30, 2013, for $25 per share. They received dividends of $750 on the jointly-owned stock a month before the sale. Sophia, who is 67 years old, received $7,000 in Social Security benefits during the year, of which she gave the Does $2,000 to use toward household expenses and deposited the remainder in her personal savings account. The Does determined that they have spent $3,000 of their own money for food, clothing, transportation, and other items for Sophia. They do not know what the rental value of Sophia's accommodations would be, but they estimate it would be at least $350 per month

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