Ms. Emma Shire is a client at S.N.H.U., LLC. Your task is to develop a comprehensive, professional tax memo and appendix for her by analyzing business and individual tax situations. Ms. Shire has questions and concerns about her personal income taxes, as well as taxes as they relate to her role in a partnership with Marlene Anderson. She also works at Clifford Co., a large organization set up as a corporation, and has questions about their tax preparation. You will work with Ms. Emma Shire to provide herwithguidance on her questions related to personal, partnership, and corporate tax situations. You will need to apply income tax regulations in solving problems and recommending courses of action that will comply with regulationsand, at the same time, resultin the best economic solution for Ms. Emma Shire. Artifact Three: Tax Memo IInformation for Personal Income Tax PreparationMs. Shire has provided youwiththe following information to prepare her personal income tax return for 2014.Emma Shire lives at 5258 Mountain Skies Road, College Park, MD 20742. She is a human resource manager at Clifford Company, 896 Western Avenue, College Park, MD 20742 (employer identificationnumber XX-1111111). She is alsoa 50/50 partner in a local clothing boutique. Ms. Shireis divorced and hastwo small children, Kelly Shire (DOB 2/3/2012) and Jordan Shire (DOB 5/19/2006).Ms. Shire was bornon January 14, 1976, and her Social Security number is 123-45-6789. She does not want to contribute $3 to the Presidential Election Campaign Fund

The following information is shown on Ms. Shire's 2014 Wage and Tax Statement (Form W-2):LineDescriptionAmount1Wages, tips, other compensation$65,000.002Federal income tax withheld10,500.003Social Security wages65,000.004Social Security tax withheld4,030.005Medicare wages and tips65,000.006Medicare tax withheld942.5015State: Maryland16State wages, tips, etc.65,000.0017State income tax withheld1,650.00Additional Information: Received interest of $1,750 from Maryland Federal Savings and LoanAssociationand $250 from Maryland State Bank. Each financial institution reported the interest income on a Form 1099-INTReceived qualified dividends of $600 from Blue Corporation, $750 from Green Corporation, and $368 from Orange Corporation. Each corporation reported dividend payments on a Form 1099-DIV.Received child support of $15,000 during the year.Received a $900 income tax refund from the state of Maryland on April 29, 2014. Reportedtotal itemizeddeductions of $10,200 on 2013 federal income tax return, which included $2,200 of state income tax withheld by her employer.Received K-1 indicating her share of the clothing boutique's ordinary business income (loss) -Line 1 is $23,580.No guaranteed payments were made or dividends were received by the partnership.Acquired 100 shares of Ace Corporation common stock for $30 a share on January 12, 2014. She sold the stock on December 19 for $55 a share.Paid $1,300 for prescription medicines and $1,875 in physician and hospital bills. Medical insurance premiums were paid by her employer. Paid real property taxes of $1,675 on her personal residence and interest on her home mortgage was $4,285, and interest paid to credit card companies totaled $360.Contributed $25 each week to herchurch and $15 each week toUnited Way. Paid $1,500 in estimated federal income taxes throughout the year

Artifact Three: Tax Memo II Corporation IssueClifford Company has encountered the following issue: The company would like to make a property distribution (dividend) of the three machines that it uses in its business. It no longer needs two of these machines. All three machines have a fair market value of $20,000 each. The basis of each machine is as follows: Machine A, $27,000; Machine B, $20,000; and Machine C, $12,000. The corporation has asked you for advice. What do you recommend?Your final portfolio artifact is the comprehensive, professional tax memo and appendix that you develop for Ms. Emma Shire, another client at S.N.H.U., LLC. As you did with the previous two artifacts, make sure to incorporate the feedbackthatyou receive from your instructor and peers. Memo:You will justify recommendations and explain potential issues and future decisions relating to Ms. Shire's tax situations. Given that Ms. Shire isnot well versed in accounting, makesurethatyour memo addresses her concerns in languagethatshe can understand. Address Ms. Shire's questions pertaining to personal tax planning. Based on her given information, what actions can Ms. Shiretake throughout the year to effectively reduce her tax liability? Provide specific recommendations, defend them with tax regulations, and explain the tax consequences or savings in conceptual and dollar value terms.Address Ms. Shire's questions pertaining to her partnership income. Based on the given information, what actions can Ms. Shire take throughout the year to effectively reduce her tax liability from the partnership? What are the tax consequences to Ms. Shire if she and her partner choose to change their business to a corporation? Provide specific recommendations, defend them with tax regulations, and explain the tax consequences or savings in conceptual and dollar value terms.Address Ms. Shire's questions pertaining to Clifford Co.'s tax preparation. Providespecific recommendations, defend them with tax regulations, and explain the tax consequences or savings in conceptual and dollar value terms.Supporting documents should include, but are not limited to: a completed tax return, tax schedules, and tax forms.Guidelines for Submission:Tax Memo Ishouldbe submitted as a one-to two-paragraphsummary in aMicrosoft Word document with double spacing, 12-point Times New Roman font, one-inch margins, and at least twosources cited in APA format.Round all answers up to the nearest dollar value in any calculations.Tax Memo II should be submitted as a one-to two-paragraphsummary in a Microsoft Word document with double spacing, 12-point Times New Roman font, one-inch margins, and at least two sources cited in APA format.Note that this milestone is a rough draft and the submission guidelines are different for the final draft of the memos. Tax Memo I will be two to three pages in length andTax Memo II will be one to two pagesin lengthwith at least threesources. Refer to the submission guidelines in the Final ProjectGuidelines and Rubricdocument.