Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Josh (age 49 social security number 182-15-4625 and Gail (age 45 social security number 139-85-0615). The Dragones reside at 95 Horse road , Merrick NY

  1. Josh (age 49 social security number 182-15-4625 and Gail (age 45 social security number 139-85-0615). The Dragones reside at 95 Horse road , Merrick NY 11554. Josh owns and operates a office supply store in East Meadow. Gail works for the East Meadow public schools as an elementary teacher.
  2. The Dragones daughter, Barbara (age 23 social security number 137-28-1670) lives with her parents. She is a full time undergraduate college student at NYU . Barbara earned $7200 in 2018 as an accountant at her fathers business. Her parents provided $9000 for her support. Barbara also receives a $7000 scholarship to the university. The Dragones paid $8000 in tuition to NYU. The schools Id number is 11-1556821 and they received a 1098-T which confirms the $8000 tuition payment. (the $8000 is included in the 9000 of support . ) The Dragones son Ted (age 11 social security 215-68-0819 ) lives at home. The Dragones also support Harvey Roe (age 16 social security number 128-45-7161) a neighbors child who came to live with them in 2017. He works at McDonalds and made $4300 this year. Joshs mother, Sybil Dragone (age 69 social security number 465-27-1511) receives her primary support from Josh and Gail.. Sybil lives in her own home in Georgia and received $6785 in social security for 2018 which she deposited in the bank.

Be careful who can qualify for the child credit.

  1. Gail feels its necessary for her to occasionally spend money on classroom materials not provided by the school. Her total expenditures for supplies in 2018 was $1650.00. Gail also paid $825 in union dues and had $80 per month taken out of her salary as a contribution to the United Way. The teacher deduction of $250 is valid for 2018. W-2 shows Income of 69,000 , federal withholdings of $11,700 from East Meadow public school.
  2. Gail also travels to various locations in NYS for monthly training. None of her travel was overnight. She got a $95 speeding ticket on the way to one of her appointments. Gail drove her personal car (2017 Toyata Corella) to all her work related appointments. Her car was driven a total of 14,000 miles during the year which included 4700 miles for work and 7400 miles for commuting (50 miles daily commuting). Gail did keep a written log of her travels. She paid $150 for parking and $225 in Tolls.

5. While away from home on August 8, 2018 , the Dragones had a burglary. A painting (which costs them 22,000 on 5/1/2010 ) was stolen .. The value on the date of theft was $28,000. The insurance company will pick up $14,000, which was paid to them. Do not consider the painting a collectible.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Students also viewed these Accounting questions