Margaret Jones also received the following during the year: Life Insurance Payment-Mutual Life (Mother's passing) $150,000 Cash gift from her father Interest income-First Bank of DePoe Bay Interest income-General Electric Bond Interest income-Portland School District Municipal Bond Interest income-Portland Rural Improvement District Bond S 1,300 OR state income tax refund "(Refund was from prior year state tax she paid last year. Margaret deducted all of her state taxes as itemized deductions, and received full tax benefit for the deductions, on her federal tax return last year). S 5,000 $ 310 $ 3,200 S 2,500 S 325 Margaret did not own, control or manage any foreign bank accounts nor was she a grantor or beneficiary of a foreign trust during the tax year. Margaret and all her children were covered by medical insurance the entire year. Margaret paid or incurred the following expenses during the year $1,500 475 255 S 950 S 175 Dentist (unreimbursed by insurance) Doctors (unreimbursed by insurance) Prescriptions (unreimbursed by insurance Real property taxes on residence Vehicle registration fee based upon age of vehicle Mortgage interest on principal residence (Form 1098 received) Contribution to the American Lung Association Contribution to the Habitat for Humanity Contribution to Methodist Church of OR Contribution to Portland State University $6,845 500 $1,000 $3,000 500 Margaret wants to contribute to the Presidential Election Campaign. She would like to receive a refund (if any) of any tax she may have overpaid for the year. check. Her preferred method of receiving the refund is by Tax Return-Number Three- Due day of final - December 13th Instructions: Please complete the required federal individual income tax return forms for Margaret Jones for the 20118 tax year. Ignore the requirement to attach the form(s) W-2 to the front page of the Form 1040. If required information is missing, use reasonable assumptions to fill in the gaps. Margaret Jones has undergone some major changes in her life recently. In 2015, at the age of 46, her husband, Robert, passed away. Margaret has not remarried as of the end of 2018. Margaret currently lives in Portland, Oregon. She was living in Seattle when her husband passed away but she moved back in 2016 to her childhood home of DePoe Bay Oregon so she could get help from her family raising her children. Margaret has three children (ages as of the end of 2018): Alyssa (25), Tyler (16), and Connor (11). Margaret would like to determine her federal income tax under the filing status that is most advantageous for her. Margaret reported the following information: MAN e Margaret's social security number is 294-83-2 8457 .Alyssa's social security number is 824-84-8456 2S r 5 . Tyler's social security number is 824-34-9584 Connor's social security number is 824-56-2984 .Margaret's mailing address is 614 S Main Road Portland, Oregon 98011 Alyssa is single and a full-time graduate student at Portland State University (PSU) (EIN 33-9876543). PSU's address is 1250 High Road, Corvallis, OR 97022. She received her bachelor's degree the year her father passed away. This year represents her seventh year of higher education schooling. Alyssa works part-time in State College to help with some of her living expenses. Alyssa earned $2,300 in gross income during the year and had her income tax return prepared on campus by Volunteer Income Tax Assistance (VITA) volunteers Margaret provided and paid for rent, books, tuition, food, clothes medicine, and other support items for Alyssa that were valued at $12,700 for the year. PSU provided Alyssa's higher education expenses for her university studies were as follows: Tuition Books S6,500 (reported on 1098-T) $2,000 Inclu de: Form (040 In order to permit Margaret to maintain a full-time job, Connor attends a day care program after school five days a week. During the year, Margaret paid the day care operator $4,250 for Connor's care The name of the day care provider is: Horizon Day Care 452 S. Patriot Road Portland OR 97023 EIN-43-6598324 Margaret's has two W-2s for 2018 as follows: ompany Gross Wages Federal Income Tax Withholding S72,435 | S4,200 $1,800 State Income Tax Withholding Portland Development tion DePoe Bay Real Estate $4,450 $200 S125 Margaret's employers withheld all applicable and appropriate payroll taxes. When her husband died, Margaret was the beneficiary of a $300,000 life insurance receiving a lump-sum payment of $300,000, she choose a 15 year annuity of $22,500. She received the $22,500 in July of 2018, Instead of She always thought taking an extended road trip in an RV would be fun. Therefore, in June 2018 she bought a new Winnebago Deluxe Coach RV for S106,250 (S100,000 discounted list price plus S6,250 in state sales tax). Two weeks on the road was enough, however, and the road trip was over. In July 2018, she sold the RV to a neighbor for $90,000. The neighbor made a $20,000 cash down payment and paid the balance of $70,000 in carly April 2019. No interest was provided for. anhing f'lasb/ On May 9 2004, her father gave her 400 shares of Careless Corporation common stock as a birthdaypee present. The stock cost her father $16,000 (S40 a share) and was worth $20,000 on the date of the gift. In 2010, when the stock was worth $140 per share, Careless declared a 2-for-1 stock split. On July 27 2018, she sold 400 shares for $30,000 ($50 a share). She kept the other 400 shares to remember her father. She has a long-term capital loss carryover of $4,000. On May 9 2015, her favorite uncle gave her an antique gun collection. Based on the uncle's records, the collection had an adjusted basis of $1,200 and was worth $3,000 on the date of the gift. Because she hates guns, and after her uncle died in August 2018, she donated the gun collection to a gun museum (a qualified charity). The transfer was completed on December 5 2018; at that time several qualified appraisers valued the collection at $4,500. The museum plans to add the collection to the other firearms it exhibits to vistors. Margaret Jones also received the following during the year: Life Insurance Payment-Mutual Life (Mother's passing) $150,000 Cash gift from her father Interest income-First Bank of DePoe Bay Interest income-General Electric Bond Interest income-Portland School District Municipal Bond Interest income-Portland Rural Improvement District Bond S 1,300 OR state income tax refund "(Refund was from prior year state tax she paid last year. Margaret deducted all of her state taxes as itemized deductions, and received full tax benefit for the deductions, on her federal tax return last year). S 5,000 $ 310 $ 3,200 S 2,500 S 325 Margaret did not own, control or manage any foreign bank accounts nor was she a grantor or beneficiary of a foreign trust during the tax year. Margaret and all her children were covered by medical insurance the entire year. Margaret paid or incurred the following expenses during the year $1,500 475 255 S 950 S 175 Dentist (unreimbursed by insurance) Doctors (unreimbursed by insurance) Prescriptions (unreimbursed by insurance Real property taxes on residence Vehicle registration fee based upon age of vehicle Mortgage interest on principal residence (Form 1098 received) Contribution to the American Lung Association Contribution to the Habitat for Humanity Contribution to Methodist Church of OR Contribution to Portland State University $6,845 500 $1,000 $3,000 500 Margaret wants to contribute to the Presidential Election Campaign. She would like to receive a refund (if any) of any tax she may have overpaid for the year. check. Her preferred method of receiving the refund is by Tax Return-Number Three- Due day of final - December 13th Instructions: Please complete the required federal individual income tax return forms for Margaret Jones for the 20118 tax year. Ignore the requirement to attach the form(s) W-2 to the front page of the Form 1040. If required information is missing, use reasonable assumptions to fill in the gaps. Margaret Jones has undergone some major changes in her life recently. In 2015, at the age of 46, her husband, Robert, passed away. Margaret has not remarried as of the end of 2018. Margaret currently lives in Portland, Oregon. She was living in Seattle when her husband passed away but she moved back in 2016 to her childhood home of DePoe Bay Oregon so she could get help from her family raising her children. Margaret has three children (ages as of the end of 2018): Alyssa (25), Tyler (16), and Connor (11). Margaret would like to determine her federal income tax under the filing status that is most advantageous for her. Margaret reported the following information: MAN e Margaret's social security number is 294-83-2 8457 .Alyssa's social security number is 824-84-8456 2S r 5 . Tyler's social security number is 824-34-9584 Connor's social security number is 824-56-2984 .Margaret's mailing address is 614 S Main Road Portland, Oregon 98011 Alyssa is single and a full-time graduate student at Portland State University (PSU) (EIN 33-9876543). PSU's address is 1250 High Road, Corvallis, OR 97022. She received her bachelor's degree the year her father passed away. This year represents her seventh year of higher education schooling. Alyssa works part-time in State College to help with some of her living expenses. Alyssa earned $2,300 in gross income during the year and had her income tax return prepared on campus by Volunteer Income Tax Assistance (VITA) volunteers Margaret provided and paid for rent, books, tuition, food, clothes medicine, and other support items for Alyssa that were valued at $12,700 for the year. PSU provided Alyssa's higher education expenses for her university studies were as follows: Tuition Books S6,500 (reported on 1098-T) $2,000 Inclu de: Form (040 In order to permit Margaret to maintain a full-time job, Connor attends a day care program after school five days a week. During the year, Margaret paid the day care operator $4,250 for Connor's care The name of the day care provider is: Horizon Day Care 452 S. Patriot Road Portland OR 97023 EIN-43-6598324 Margaret's has two W-2s for 2018 as follows: ompany Gross Wages Federal Income Tax Withholding S72,435 | S4,200 $1,800 State Income Tax Withholding Portland Development tion DePoe Bay Real Estate $4,450 $200 S125 Margaret's employers withheld all applicable and appropriate payroll taxes. When her husband died, Margaret was the beneficiary of a $300,000 life insurance receiving a lump-sum payment of $300,000, she choose a 15 year annuity of $22,500. She received the $22,500 in July of 2018, Instead of She always thought taking an extended road trip in an RV would be fun. Therefore, in June 2018 she bought a new Winnebago Deluxe Coach RV for S106,250 (S100,000 discounted list price plus S6,250 in state sales tax). Two weeks on the road was enough, however, and the road trip was over. In July 2018, she sold the RV to a neighbor for $90,000. The neighbor made a $20,000 cash down payment and paid the balance of $70,000 in carly April 2019. No interest was provided for. anhing f'lasb/ On May 9 2004, her father gave her 400 shares of Careless Corporation common stock as a birthdaypee present. The stock cost her father $16,000 (S40 a share) and was worth $20,000 on the date of the gift. In 2010, when the stock was worth $140 per share, Careless declared a 2-for-1 stock split. On July 27 2018, she sold 400 shares for $30,000 ($50 a share). She kept the other 400 shares to remember her father. She has a long-term capital loss carryover of $4,000. On May 9 2015, her favorite uncle gave her an antique gun collection. Based on the uncle's records, the collection had an adjusted basis of $1,200 and was worth $3,000 on the date of the gift. Because she hates guns, and after her uncle died in August 2018, she donated the gun collection to a gun museum (a qualified charity). The transfer was completed on December 5 2018; at that time several qualified appraisers valued the collection at $4,500. The museum plans to add the collection to the other firearms it exhibits to vistors