**NEED 12a and 13 on 1040*** Schedule A included for reference

• The answer to 12a is NOT 29,690

Joe and Jessie are married and have one dependent child, Lizzie. Lizzie is currently in college at State University. Joe works as a design engineer for a manufacturing firm, while Jessie runs a craft business from their home. Jessie's craft business consists of making craft items for sale at craft shows that are held periodically at various locations. Jessie spends considerable time and effort on her craft business, and it has been consistently profitable over the years. Joe and Jessie own a home and pay interest on their home loan (balance of $220,000) and a personal loan to pay for Lizzie's college expenses (balance of $35,000).

Neither Joe nor Jessie is blind or over age 65, and they plan to file as married-joint. Assume that the employer portion of the self-employment tax on Jessie's income is $660. Joe and Jessie have summarized the income and expenses they expect to report this year as follows:

Income: Joe's salary Jessie's craft sales Interest from certificate of deposit Interest from Treasury bond funds Interest from municipal bond funds Expenditures: Federal income tax withheld from Joe's wages State income tax withheld from Joe's wages Social Security tax withheld from Joe's wages Real estate taxes on residence Automobile licenses (based on weight) State sales tax paid Home mortgage interest Interest on Masterdebt credit card Medical expenses (unreimbursed) Joe's employee expenses (unreimbursed) Cost of Jessie's craft supplies Postage for mailing crafts Travel and lodging for craft shows Self-employment tax on Jessie's craft income College tuition paid for Lizzie Interest on loans to pay Lizzie's tuition Lizzie's room and board at college Cash contributions to the Red Cross $136,500 18,640 1,890 764 968 $13,700 6,880 7,578 6,680 358 1,390 18,400 2,780 1,930 2,880 6,660 169 2,470 1,320 6,260 3,680 13,100 645 SCHEDULE A (Form 1040) Department of the Treasury Internal Revenue Service (99) Itemized Deductions Go to www.irs.gov/ScheduleA for instructions and the latest information. Attach to Form 1040 or 1040 -SR. Caution: If you are claiming a net qualified disaster loss on Form 4684 , see the instructions for line 16 . OMB No. 15450074 2021 Attachment Sequence \begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{4}{|c|}{ Name(s) shown on Form 1040 or 1040SR} & \multirow{2}{*}{\multicolumn{2}{|c|}{Yoursocialsecuritynumber111111111}} \\ \hline Joe & \multicolumn{3}{|l|}{ Jessie } & & \\ \hline \multirow{5}{*}{MedicalandDentalExpenses} & \multicolumn{3}{|l|}{ Caution: Do not include expenses reimbursed or paid by others. } & & \\ \hline & 1 Medical and dental expenses (see instructions) & 1 & 1,930 & & \\ \hline & 2EnteramountfromForm1040or1040SR,line11 & & & & \\ \hline & 3 Multiply line 2 by 7.5%(0.075) & 3 & 10,918 & & \\ \hline & \multicolumn{3}{|l|}{4 Subtract line 3 from line 1 . If line 3 is more than line 1 , enter -0 - } & 4 & 0 \\ \hline \multirow[t]{9}{*}{TaxesYouPaid} & 5Stateandlocaltaxes.aStateandlocalincometaxesorgeneralsalestaxes.Youmayincludeeitherincometaxesorgeneralsalestaxesonline5a,butnotboth.Ifyouelecttoincludegeneralsalestaxesinsteadofincometaxes, & & & & \\ \hline & check this box & 5a & 6,880 & & \\ \hline & b State and local real estate taxes (see instructions) & 5b & 6,680 & & \\ \hline & c State and local personal property taxes & 5c & 0 & & \\ \hline & d Add lines 5a through 5c & 5d & 13,560 & & \\ \hline & e Enter the smaller of line 5d or $10,000 ( $5,000 if married filing separately) & 5e & 10,000 & & \\ \hline & 6 Other taxes. List type and amount & & & & \\ \hline & & 6 & & & \\ \hline & \multicolumn{3}{|l|}{7 Add lines 5 e and 6} & 7 & 10,000 \\ \hline \multirow[t]{2}{*}{InterestYouPaid} & 8Homemortgageinterestandpoints.Ifyoudidntuseallofyourhomemortgageloan(s)tobuy,build,orimproveyourhome,seeinstructionsandcheckthisbox & & & & \\ \hline & aHomemortgageinterestandpointsreportedtoyouonForm1098.Seeinstructionsiflimited & 8a & 18,400 & & \\ \hline \end{tabular} THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM. IT IS NOT THE OFFICIAL FORM IT SELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL. (c) 20221 McGraw-Hill Education. For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. Cat. No. 11320B Form 1040 (2021)