Question
James Dangell (birthdate August 2, 1977) is a single taxpayer. Jims earnings and withholdings as the manager of a local casino for 2021 are reported
James Dangell (birthdate August 2, 1977) is a single taxpayer. Jims earnings and withholdings as the manager of a local casino for 2021 are reported on his Form W-2: A W-2 form shows details of James Dangells earnings and income tax withholdings. The form is divided into two Panels. OMB number: 1545-0008. The first panel contains a to f sections. It shows filled-in fields for the following: a. employees social security number: 555-94-9358 (highlighted), b. employer identification number (EIN): 31-1459656, c. employers name, address, and ZIP code: Lucky Ace Casino, 700 N. Sierra Street, Reno, N V 89503. e. employees first name, initial, and last name, and f. employees address and ZIP code: James Dangell, 911 Parr Blvd. Reno, N V 89512. To be filled-in field in this panel is d. control number. The second panel contains 1 to 20 sections. It shows filled-in fields for 1. Wages, tips, other compensation: 182,000.00 (highlighted), 2. Federal income tax withheld: 21,500.00 (highlighted), 3. Social security wages: 142,800.00, 4. Social security tax withheld: 8,853.60, 5. Medicare wages and tips: 190,000.00, 6. Medicare tax withheld: 2,755.00, 13. 3 Checkboxes. Statutory employee. Retirement plan. (checked). Third-party sick pay., and 15. State: N V, employees state ID number. To be filled-in fields for this panel are: 7. Social security tips, 8. Allocated tips, 9, 10. Dependent care benefits, 11. Nonqualified plans, 12 a. See instructions for box 12. D, 8,000.00. 12 b, W 1200.00. 12 c, 12 d, 14. Other, 16. State wages, tips, etc., 15. State income tax, 18. Local wages, tips, etc., 19. Local income tax, and 20. Locality name. A foot note below the form reads, Form W-2 Wage and Tax Statement Copy B-To Be Filed With Employees FEDERAL Tax Return. This information is being furnished to the Internal Revenue Service. 2021. Department of the Treasury-Internal Revenue Service. Jims other income includes interest on a savings account at Nevada National Bank of $12,000 (1099-INT not shown). Jim pays his ex-spouse, Sarah McLoughlin, $3,900 per month in accordance with their February 12, 2020 divorce decree. When their 12-year-old child (in the ex-wifes custody) reaches the age of 18, the payments are reduced to $2,800 per month. His ex-wifes Social Security number is 554-44-5555. In 2021, Jim purchased a new car and so he kept track of his sales tax receipts during the year. His actual sales tax paid is $5,210, which exceeds the estimated amount per the IRS tables. Jim participates in a high-deductible health plan and is eligible to contribute to a health savings account. His HSA earned $75 in 2021. During the year, Jim paid the following amounts (all of which can be substantiated): Credit card interest $1,760 Auto loan interest 4,300 Auto insurance 900 Property taxes on personal residence 3,400 Contributions to HSA 2,000 Income tax preparation fee 900 Charitable contributions (all cash): Boy Scouts of America 1,200 St. Matthews Church 3,100 Nevada Democratic Party 250 Fund-raising dinner for the Reno Auto Museum (value of dinner is $45) 100
Complete John's Form 1040 and Schedules 1, A and B as well Form 8889.
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