Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

John and Sandy Ferguson got married 8 years ago and have a 7-year-old daughter, Samantha. In 2019, John worked as a computer technician at a

John and Sandy Ferguson got married 8 years ago and have a 7-year-old daughter, Samantha. In 2019, John worked as a computer technician at a local university, earning a salary of $152,000, and Sandy worked part-time as a receptionist for a law firm, earning a salary of $29,000. John also does some Web design work on the side and reported revenues of $4,000 and associated expenses of $750. The Fergusons received $800 in qualified dividends and a $200-refund of their state income taxes. They always itemize their deductions, and their itemized deductions were well over the standard deduction amount last year. They had qualifying insurance for purposes of the Affordable Care Act (ACA). The Fergusons reported making the following payments during the year: State income taxes of $4,400 Federal tax withholding of $21,000 Alimony payments to Johns former wife of $10,000 (divorced in 2014) $4,100 for child support payments for Johns child with his former wife $12,200 of real property taxes $3,600 to Kid Care Day Care Center for Samanthas care while John and Sandy worked $14,000 interest on their home mortgage ($400,000 acquisition debt) $3,000 interest on a $40,000 home equity loan; they used the loan to pay for a family vacation and new car $15,000 cash charitable contributions to qualified charities Donation of used furniture to Goodwill; the furniture had a fair market value of $400 and cost $2,000.

Required: Using TaxAct, complete pages 1 and 2, Schedule 1 and Schedule 3 of Form 1040 for 2019 for John and Sandy. Export Form 1040, and submit your assignment through the portal. Please see the course syllabus for instructions on downloading and using TaxAct.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

South Western Federal Taxation 2014 Comprehensive Volume

Authors: William H. Hoffman, David M. Maloney, William A. Raabe, James C. Young

37th Edition

1285180925, 978-1285180922

Students also viewed these Accounting questions