Johnelle and Latoya Henry are married and provide you the following information

Johnelle received a Form W-2 from Toys Unlimited that contained the following information

Wages $45,000

Federal income tax withheld $5,500

State income tax withheld $2,200

Long-term Investments (Latoya's co-owned business) had business income of $85.000 and busines

expenses of $18,000 in 2021. Latoya is a 50% owner of this company.

The couple also received the following:

Lottery winnings - $5,000

Gift from Latoya's father - $7,300

Interest income from City of Golden bond - $550

Interest income from Patagonia bond - $890

Latoya made $2,000 of estimated federal tax payments to cover her expected tax liability.

Johnelle and Latoya incurred the following expenses for the year:

Unreimbursed hospital charges - $6,500

Unreimbursed prescription drug charges - $1,750

Unreimbrused physician charges - $2,200

Unreimbursed prescription glasses - $150

Laser hair treatment (so that Latoya will no longer need to shave her legs) - $2,000

Interest payments on their primary residence (acquisition debt of $225,000) - $12,000

Interest expense on car loan - $1,750

Interest expense on Visa credit card - $500

Real estate taxes on personal residence - $8,000

Personal property tax on their cars (based on value) - $1,000

Cash contribution to American Red Cross - $200

Cash contribution to United Way - $150

Cash contribution to St. Joseph's church - $8,000

Cash contribution to St. Joseph's church - $8,000

Food for the family of Hannah Barbara (who suffered a car accident last year) - $225

Stock transfer to the University of South Carolina (originally purchased for $1,000 in January 2006) on July 1, 2021 - $750

In the text box that follows, please include a full tax formula at the top and any supporting work afterward so that I can award partial credit. The tax formula should be in proper form and calculate the federal income tax

due/refundable when the 2021 return is filed. Please IGNORE SELF-EMPLOYMENT TAX for this problem.