es Joann is an attorney and owns her law firm, which is operating as an S corporation. Her W-2 information and Schedule K-1 from her law firm are as follows: Federal W/H Wages (box 1)- $114,800.50 (box 2)- $ 15,000.14 Social security wages (box 3) = $114,800.50 Social security N/H (box 4)- $ 7,117.63 Medicare wages (box 5) $114,800.50 Medicare H/H (box 6)- $ 1,664.61 Schedule K-1 from the law offices of Joann Girardi: Line 1 $22.582.00 (ordinary business income) Line 11- $22.582.00 (5 179 deduction) Lou is a full-time lecturer at Arizona State University. His W-2 information from ASU is as follows: Wages (box 1)- $65,000.00 Federal H (bax 2)-$9.950.25 Girardi Attorney at Law 10 # 12-3456789 100% Ouner Material participation - yes Social security wages (box 3)- $65,000.00 Social security /H (box 4) $4,000.00 Medicare wages (box 5) $65,000.00 Medicare M/M (box 6)- $ 942.50 The following are other income and expenses they received and incurred during the year. Income Dividend (qualified) Interest Expenses Real estate taxes State sales tax Mortgage interest Charitable contribution $ 666 765 7,836 1,629 32,562 2,598 Prepare the Girardis federal tax return for 2017. Use Form 1040, and Schedules A, B, and E. Assume that the Girardis do not qualify for any credits (although they may). For any missing information, make reasonable assumptions. The taxpayers had qualifying health care coverage at all times during the tax year (Assume no AMT although it may apply. Form 6251 or the AMT calculation is not required) (List the names of the taxpayers in the order in which they appear in the problem. Do not round intermediate computations. Input all the values as positive numbers. Instructions can be found on certain cells within the forms. Round your final answers to nearest the nearest whole dollar amount.) Use the appropriate Tax Tables or Tax Rate Schedules age 1 of Form 1040. Use provided information and follow instructions on form. 2017 ur first name and initial a joint return, spouse's first name and initial ome address (number and street). If you have a PO, box, see instructions Foreign country name Filing Status Check only one box. Exemptions City, town or post office, state, and ZIP code. If you have a foreign address, also complete spaces below If more than four 1 Single 2 Married fling jointly 3 Married fling separately Ga Yourself Spouse c Dependents (1) Fint name Last name Last name Last name Saved Foreign province (2) Dependent's social security number (Enter as 00000 Prov (3) Dependents relationship to you Next Apt no You 4 Head of household (with qualifying person) If the qualifying person is a child but not your dependent enter this child's name here 5 Qualifying widower) with dependent child OMB No. 1545-0074 IRS Use Only-Do not write in this space. Your social security number (Enter as xxxx-xxx-xxxxx) Foreign postal code (4) Xit child under age 17 qualifying for child tax credit Help Spouse's social security number (Enter as xxx-xx-xxxxXx) Boxes checked on 6a and 6b No of children on 6c who Lived with you Save & Ex A Make sure the SSN(s) above and on line 6c are correct Presidential Election Campaign Check here if you, or your spouse if ing jointly want 53 to go to this fund Checking a box below will not change your tax or refund Did not live with you Dependents on 6c not Chec Spouse If more than four dependents, see instructions and check here Income Attach Form(s) W2 here Also attach Forms W-20 and 1099-R tax was withhell c Dependents If you did not get a W2. structions (1) Fint name Last name d Total number of exemptions claimed i 7 Wages, salanes, tips, etc. Attach Form(s) W-2 da Taxable interest Altach Schedule B if required Ine Sa b Tax-exempt interest Do not include (2) Dependents social security number (Enter as xxx-xx-xxxxx) Sa Ordinary dividends Attach Schedule if required b Qualified Dividends 10 Taxable refunds, credits, or othets of state and local income taxes 11 Almony received 12 Business income or Doss) Attach Schedule C or C-Ez 13 Capital gain or does) Aach Schedule D if required. If not requeed check here 14 Other gains or closses) Altach Form 4797 15a RA distributions 16a Pensions and annuities 17 Rental real estate, royalties, partnerships. S corporations, trusts, etc. Attach Schedule E 10 Farm income or loss) Attach Schedule F 19 Unemployment compensation 20a Social security benef 21 Other income List type and amount 22 Combine the amounts in the far night colume for lines 7 through 21 The a your total income Adjusted Gross 23 Educator expenses Press 15 164 (3) Dependent's relationship to you 20a ETET 9** (4) X if child under age 17 qualifying for child tax crede b Taxable amount b Taxable amount Taxable amount Lived with you Did not live with you Dependents on 6c not entered above Add numbers on lines above Ba 98 10 11 12 13 14 156 166 17 18 19 20 21 22 Check m Adjusted Gross 23 Educator expenses Income 24 Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 2106 or 2106-EZ 25 Heath savings account deduction. Attach Form 8889 26 Moving expenses. Attach Form 3903 27 Deductible part of self-employment tax Attach Schedule SE 28 Self-employed SEP, SIMPLE, and qualified plans 29 Self-employed health insurance deduction 30 Penalty on early withdrawal of savings 31a Alimony paid 32 IRA deduction 33 Student loan interest deduction 34 Reserved for future use b Recipients SSN 35 Domestic production activities deduction Attach form 8903 36 Add Iines 23 through 35 37 Subtract line 36 from line 22. This is your adjunted gross income For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. UYA 23 24 25 26 27 28 29 30 31a 32 BEBE 33 34 35 THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM. IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL, 2018 McGraw-Hill Education. 1040 PG 2 > 36 37 Ch Form 1040 (2017) Form 1040 (2017) Tax and Credits Standard deduction for- Single or Married fing separately 56,550 30 Amount from line 37 (adjusted gross income) You were born before Jan 2, 1953 Bind Spouse was bom before Jan. 2. 1953 Blind b If your spouse femizes on a separate return or you were a dual-status alien, check 40 Hemized deductions (hom Schedule A) or your standard deduction (see left margin) 41 Subtract line 40 from line 38 DE Other Taxes 44 Tax (see instructions) Check it any from Form(s) 0814 Form 4972 45 Alternative minimum tex (see anstructions) Attach Form 6251 46 Excess advance premium tax credit repayment Attach Form 22 Married filing joetly 47 Add ines 44 45 and 46 or Qualifying 45 Foreign tax crede. Attach Form 1116 if required widower), $12.700 42 Exemptions. If line 38 is $156,900 or less multiply $4,050 by the number on lee 6d. Otherwise, see instructions 43 Taxable income. Subtract line 42 from line 41. If ine 42 is more than line 41, enter -0 49 Credit for child and dependent care expenses Attach Form 2441 Head of household. 50 Education credits from Form 5063 19 59.350 51 Retirement savings contributions credit Altach Form 5550 52 Child tax credit Altach schedule 8012, qued 53 Residential energy credits Altach Form 5495 14 Other credits from Form) 3000 8001 Total boxes checked 39a 35 And sees 43 through 54 These are your tatal credits 56 Subtract fine 55 tom ne 47 155 more than ine 470 396 tax Altach Schedu 58 Unreported social secoity and Medicare tax fram F4337 0919 other 50 Additional tec on IRAs other qualified reteement plans et Attach Form 5329 if required 48 49 50 $1 52 53 54 O 55 56 57 50 40 41 42 43 44 45 46 47 Help Save & Exit Check m Page 2 Other Taxes Payments Refund 57 Self employment tax. Altach Schedule SE S8 Unreported social security and Medicare tax from Form(s) 4137, 8919, other 59 Additional tax on IRAS, other qualified retirement plans, etc. Attach Form 5329 if required 60a Household employment taxes from Schedule H 60b First time homebuyer credit repayment. Attach form 5405 if required 61 Health care individual responsibility (see instructions) Full-year Direct deposit? See instructions coverage 62 Taxes from Form 8959. Form 8960 If you have a qualifying child, election 66b attach Schedule EIC $7 Additional child tax credit Attach Schedule 6812 68 American opportunity credit from Form 5863 ane 8 63 Add lines 56 through 62. This is your total tax 64 Federal income tax withheld from Forms W-2 and 1099 65 2017 estimated tax payments and amount applied from 2016 retur 66a Eamed income credit (EIC) b Nontaxable combat pay 50 Net premium tax credit Attach Form 1962 70 Amount paid with request for to Me 71 Excess social security and tier withheld 72 Credt for federal tax on fuels Attach Form 4136 73 Credits from Fomi 74 Add lines 64 Routing number d Account number 2430 6805 other and 67 through 73 These are your total payments 77 75 If line 74 is more than line 63, subtract line 63 from line 74 This is the amount you overpaid 76a Amount of line 75 you want refunded to you. If Form 0000 is attached check here ne 75 we went d 0 Med Enter code(s) 64 65 66 67 68 69 70 71 72 73 Type: 771 O Checking Savings 57 58 59 60a 60b 61 62 63 74 75 76a Check my 10 deposit? See b Routing number tions d Account number 77 Amount of line 75 you want applied to your 2018 estimated tax 78 Amount you owe Subtract line 74 from line 63. For details on how to pay see instructions unt You Party gnee 1 2 te/4 is more than one 63, subtract line 63 from ine /4. This the amount you overpaid 76a Amount of line 75 you want refunded to you. If Form 8888 is attached, check here return? See Keep a copy our records d parer Only 79 Estimated tax penalty (see instructions) Do you want to allow another person to discuss this return with the IRS (see instructions? Designee's name Phone no Spouse's signature. If a joint retum, both must sign Date Print/Type preparer's name Firm's name Type: Fum's address Preparer's signature 0 777 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 preparer (other than taxpayer) is based on all information of which preparer has any knowledge Your signature Date Your occupation Daytime phone number Spouse's occupation Checking Savings PIN Date 75 76a Firm's EIN Phone no 78 IF the IRS sent you an identity Protection PIN enter it here (see inst.) Self-employed? THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL 2015 McGraw-Hill Education. PTIN Form 1040 (2017) ject SCHEDULE A (Form 1040) Department of the Treasury Internal Revenue Service (99) Name(s) shown on Form 1040 Medical and Dental Expenses Taxes You Paid Interest You Paid Note Caution. Do not include expenses reimbursed or paid by others. 1 Medical and dental expenses (see instructions) 2 Enter amount from Form 10-40, line 30 3 4 5 Itemized Deductions Information about Schedule A and its separate instructions is at www.irs.gov/schedule Attach to Form 1040 6 7 Personal property taxes Saved Multiply line 2 by 10% (10) But if either you or your spouse was born before January 2, 1953, multiply line 2 by 7.5% (075) instead fine 3 is 1 enter Subtract line 3 from line 1 (check only one box) State 6.85% local 125% Income taxes, or b General sales taxes Real estate taxes (see instructions) Other faves List type and amount Add nes through B 10 Home mortgage interest and points reported to you on Form 1095 11 Home mortgage interest not reported to you on Foren 1000 paid to the person for whom you bought the home see instructions and show that person's name identifying no and address Help Save & Exit Su Your social security number Check my wo OMB No 1545-0074 2017 Attachment Sequence No. 07 nd k CKS Nate. Your mortgage interest deduction may be led (ee instructions) Gifts to Charity it you made a gift and got a berett for it se instructom Casualty and Theft Losses Job Expenses. and Certain Miscellaneous Deductions 12 Points not reported to you on Form 1098 See instructions for special rules 13 Mortgage insurance premiums (see instructions) 14 Investment interest. Alfach Form 4952 if required. (see instructions) 15 Add lines 10 through 14 16 Ofts by cash or check. If you made any gift of $250 or more, see instructions 17 Other than by cash or check. If any gift of $250 or more see instructions You must atach Form 8283 it over $500 Carryover trom prior year 18 19 Add lines 15 through 1 20 Casualty of the lossies Attach Form 4504 See instructions) 21 Unreimbursed employee expenses-job travel, union does, job education Attach Form 2106 or 2106-Ezequired (See instructions) 22 Tas preparation fees 23 Other expenses-investment safe cepost b etc List tipe and amount 24 Add lines 21 through 23 25 Exter amount from Form 1040, Ine 38 26 Mutipy line 25 by 2% (02) 27 Subtract line 26 from ne 24 ane 26 is more than ne 24 entr Prav 11 12 13 14 BE 15 19 20 N Casualty and Theft Losses Job Expenses and Certain Miscellaneous Deductions Other Miscellaneous Deductions Total Itemized Deductions 20 Casualty or the loss(es) Attach Form 4584 (See instructions) 21 Unreimbursed employee expenses-job travel, union dues, job education, etc Attach Form 2106 or 2106-E2 required. (See instructions.) 22 Tax preparation fees 23 Other expenses-investment safe deposit box, etc. List type and amount 24 Add lines 21 through 23 25 Enter amount from Form 1040, line 30 26 Multiply line 25 by 2% (02) 27 Subtract line 20 tom line 24 29 Is Form 1040 ine 30, over $158.9007 No. Your deduction is not limited. Add the amounts in the far right column fornes 4 through 28 Also enter this amount ort on Form 1040 in 40 Yes Your deduction may be limited See the temized Deductions Worksheet in the instructions to figure the amount to you elect to Hemize deductions even though they are less than your standard deduction check FE tine 26 is more than line 24, enter- 28 Other from list in instructions List type and amount (hypecs) should go in the left cells and amounts) in the right cells) 30 For Paperwork Reduction Act Notice, see Form 1040 instructions UVA 23 } 0 27 THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL 2018 McGraw- Education 28 29 Schedule A (Form 1040) 2017 SCHEDULE B (Form 1040A or 1040) Department of the Treasury Internal Revenue Service (99) Name(s) shown on return Part 1 Interest (See instructions for Form 1040A or Form 1040, line 8a) Note you received a Form 1099 INT Form 1099-010, or substhe statement Som a brokerage tem, list the firs name as the payer and enter the total interest shown on that form Part Ordinary 4 Interest and Ordinary Dividends Alfach to Forms 1040A or 1040 Information about Schedule 8 (Form 1040A or 1040) and its instructions is at www.irs.gov/scheduleb 1 Combine all interest amounts in the box on the right 2 Add the amounts on line 1 3 Excludable interest on senes EE and US savings bonds issued after 1909 Attach Foom 15 4 Subtract line 3 from sine 2. Enter the result here and on Form 1040A or Fame 1040, line da Notatine 4 is over 51.500, you must complete Pati 5 Combine all ordinary dividend amounts in the box on right Prev 1 of 1 Neld OMB No. 1545-0074 2017 Attachment Sequence 08 No. Your social security number Check my worl Amount Amount Part II Ordinary Dividends (See instructions for Form 1040A, or Form 1040, Ine Sa) Note. If you received a Form 1099-DIV or substitute statement from a brokerage fem list the firm's name as the payer and enter the ordinary dividends shown on that form Part Foreign Accounts and Trusts 5 Combine all ordinary dividend amounts in the box on right Add the amounts on line 5. Enter the total here and on Form 1040A, or Fom 1040, ne ba Note If line is over $1.500 you must complete Part You must complete this part if you (a) had over $1.500 of taxable interest or ordinary diodends, (b) had a foreign account or (c) received a distribution from or were a grantor of or a transferor to, a foreign trust. 7a At any time during 2017, did you have a financial interest in or signature authority over a financial account (such as a bank account, securities account, or brokerage account) located in a foreign country? See instructions "res" are you required to Sie FinCEN Form 114. Report of Foreign Bank and Financial Accounts (FBAR), formerly TDF 50 22 1 to report that financial interest or signature authority? See FinCes Form 114 and its instructions for filing (See instructions) requirements and exceptions to those requirements If you are required to fle FinCEN Form 114 enter the name of the foreign country where the financial account is located Din 2013 ralm shion hom 1 of 1 made www www.you Next Yes 5 6 No Schedule E (Form 1040) 2017 Name(s) shown on retum. Do not enter name and social security number if shown on Page 1 20 Caution. The IRS compares amounts reported on your tax return with amounts shown on Schedule(s) K-1 Part II Income or Loss From Partnerships and S Corporations Note. If you report a loss from an at-risk activity for which any amount is not at risk, you must check the box in column (e) on line 28 and attach Form 6198. See instructions 27 Are you reporting any loss not allowed in a prior year due to the at-risk, excess farm loss, or basic limitations, a prior year unallowed loss from a passive activity of that loss was not reported on Form 8582), or unreimbursed partnership expenses? If you answered "Yes," see instructions before completing this section Yes No (d) Employer identification number (e) Check it any amount is not at risk A B C D A B Girardi-Attorney at Law Sec 179 Depreciation Passive Income and Loss (T) Passive loss allowed (attach Form 8552 if (g) Passive income from required) Schedule K-1 C D 29 Totals (a) Name (b) Enter Pfor partnership: S for S corporation (h) Nonpassive loss from Schedule K-1 Proy 1 of 1 Attachment Sequence No. 13. Your social security number(xxxxxx-xxxxx) (c) Check if foreign partnership Nonpassive Income and Loss bTotals 30 Add columns (g) and of line 29 31 Add columns in ch), and of line 290 32 Total partnership and 5 corporation income or doss) Combine lines 30 and 31. Enter the result here and include in the total on line 41 below Next xxxxxxxxxxxx 12-3456789 12-3456789 Section 179 expense deduction from Form 4562 Page 2 30 31 32 Norpassive income from Schedule K-1 Part II 33 B A B Income or Loss From Estates and Trusts Passive Income and Loss (c) Passive deduction or loss allowed (attach Form 8582 if required) 34a Totals b Totals 35 Add columns (d) and (f) of line 34 36 Add columns (c) and (n) of line 34b (a) Name (d) Passive income from Schedule K-1 37 Total estate and trust income or Joss). Combine lines 35 and 36 Enter the result here and include in the total on line 41 below. Part IV Income or Loss From Real Estate Mortgage Investment Conduits (REMICS) Residual Holder (a) Name (b) Employer identication number xxx-xxxxXxXxXxXxXxxxXx) (c) Excess inclusion from Schedules Q 2e (see instructions 42 Reconciliation of farming and fishing income. Enter your gross farming and fishing income reported on Form 4835 e 7 Schedule K-1 Form 1065), box 17, code V and Schedule Kit Form 1041) bor 14, code F ieee instructions) Nonpassive Income and Loss (e) Deduction or loss from Schedule K-1 30 Combine columna (d) and (e) only. Enter the result here and include in the total on line 41 below Part V Summary 40 Net fam rental income or doss) tron Form 4535 Also complete line 42 below 41 Total income or loss) Combine lines 26, 32, 37 39 and 40 Enter the result here and en Form 1040, Ine 17, or Form 1540NR, ine 10 43 Reconciation for real estate professionals. If you were a real estate professional (see instructions enter the net income or doss you reported anywhere on Form 1040 or Form (d) Taxable income (netless) from Schedules Qline 1b (b) Employer identification number 35 36 37 (e) Income from Schedules Q line 3b 30 40 (f) Other income from Schedule K-1 41