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I need help with this question: Federal Taxation Problem 59. Alfred E. Old and Beulah A. Crane, each age 42, married on September 7, 2011.

I need help with this question: Federal Taxationimage text in transcribed

Problem 59. Alfred E. Old and Beulah A. Crane, each age 42, married on September 7, 2011. Alfred and Beulah will file a joint return for 2013. Alfred's Social Security number is 111-11- 1111. Beulah's Social Security number is 12345-6789, and she adopted \"Old\" as her mar- ried name. They live at 211 Brickstone Drive, Atlanta, GA 30304. Alfred was divorced from Sarah Old in March 2011. Under the divorce agreement, Alfred is to pay Sarah $1,250 per month for the next 10 years or until Sarah's death, whichever occurs first. Alfred pays Sarah $15,000 in 2013. In addition, in January 2013, Alfred pays Sarah $50,000, which is designated as being for her share of the marital property. Also, Alfred is responsible for all prior years' income taxes. Sarah's Social Secu- rity number is 123-45-6788. Alfred's salary for 2013 is $150,000, and his employer, Cherry, Inc. (Federal I.D. No. 98-7654321), provides him with group term life insurance equal to twice his annual sal- ary. His employer withheld $24,900 for Federal income taxes and $8,000 for state income taxes. The proper amounts were withheld for FICA taxes. Beulah recently graduated from law school and is employed by Legal Aid Society, Inc. (Federal I.D. No. 11-1111111), as a public defender. She receives a salary of $40,000 in 2013. Her employer withheld $7,500 for Federal income taxes and $2,400 for state income taxes. The proper amounts were withheld for FICA taxes. Beulah has $2,500 in qualified dividends on Yellow Corporation stock she inherited. Alfred and Beulah receive a $1,900 refund on their 2012 state income taxes. They item- ized deductions on their 2012 Federal income tax return (total of $15,000). Alfred and Beulah pay $4,500 interest and $1,450 property taxes on their personal residence in 2013. Their charitable contributions total $2,400 (all to their church). They paid sales taxes of $1,400, for which they maintain the receipts. Compute the Olds's net tax payable (or refund due) for 2013. If you use tax forms for your solution, you will need Form 1040 and Schedules A and B. Suggested software: H&R BLOCK Tax Software. Please answer Cumulative Problem 59 in the Instructional Materials. You will need Form 1040 and Schedules A and B. Check answers for Cumulative Problem 59: Form 1040 - Line 37 - Adjusted Gross Income - 179,700 Line 74a - 2,377 Schedule A, Line 29 - Total Itemized Deductions - 18,750

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