Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

need help fillong out the schedule 1 OMPREHENSIVE FRUD 1. John Williams (birthdate August 2, 1975) is a single taxpayer. John's earnings and withholdings as

need help fillong out the schedule 1
image text in transcribed
image text in transcribed
image text in transcribed
OMPREHENSIVE FRUD 1. John Williams (birthdate August 2, 1975) is a single taxpayer. John's earnings and withholdings as the manager of a local casino for 2018 are reported on his Form W-2: www.nute 145.00. 555-94-9358 25,000.00 31-1459656 FAST e+ file 195,800.00 128.400.00 195,800.00 2,839.10 Lucky Ace Casino 700 N Sierra Street Reno, NV 89503 John Williams 1324 Skyewalker Drive Reno, NV 89501 NVI W-2 Statement Wage and Tax 2018 Copy -To Be Fried with Employee's FEDERAL Tax Return The woman is being used to the r evenue Service John's other income includes interest on a savings account at Nevada National Bank of $13,700 John pays his ex-wife, Sarah McLoughlin, $3,900 per month in accordance with their 2012 divorce decree. When their 12-year-old child (in the ex-wife's custody) reaches the age of 18, the payments are reduced to $2,725 per month. His ex-wife's Social Security number is 554-44-5555. In 2018, John purchased a new car and so he kept track of his sales tax receipts during the year. His actual sales tax paid is $3,660, which exceeds the estimated amount per the IRS tables. John participates in a high-deductible health plan and is eligible to contribute to a health savings account. His HSA earned $125 in 2018. During the year, John paid the following amounts (all of which can be substantiated): Credit card interest $1,760 Auto loan interest 4,300 Auto insurance 900 Contribution to IRA 5,500 Property taxes on personal residence 2,640 Contributions to HSA 2,800 Income tax preparation fee 900 Charitable contributions (all cash): Boy Scouts 1,350 St. Matthews Church 3,100 U of Nevada (Reno) Medical School 26,900 Nevada Democratic Party 250 Fund-raising dinner for the Reno Auto Museum 100 (value of dinner is $25) John also received the following Form 1098: 2018 Mortgage Interest Statement O CORRECTED (if checked) RECIPIENT SLENDER'S namne, street address, city or town, state or *Caution: The wround shown may OMB No 1545-0001 province, Country, ZIP or foreign postal code, and felephone no not be My deductible by you Limits based on the loan amount and the cost and value of the Reno Bank & Trust secured property may apply. Also, 49 Commerce Street you may only deduct interest to the extend it was incurred by you. Reno, NV 89501 actually paid by you, and not reimbursed by another person Form 1098 1 Mortgage interest received from payers borrowers) $ 18,956.78 RECIPIENT'S LENDER'S TIN PAYER'S/BORROWER'S TIN 9 Outstanding mortgage 3 Mortgage origination date principal as ol 1/1/2018 03/01/2002 33-1234569 $ 592,700.00 555-94-9358 4 Refund of overpaid 5 Mortgage insurance interest promlumns PAYER'S/BORROWER'S name John Williams Points paid on purchase of principal residence 7 X address of property securing mortgage is the same as PAYER'S/BORROWER'S address, the bax is checked, or the address or description is entered in box 8. Street address (including apt. no) 1324 Skyewalker Drive City or town, state or province, country, and ZIP or foreign postal code Reno, NV 89501 Copy B For Payer/ Borrower The information in boxes 1 through 9 is important tax information and is being furnished to the IRS. W you are required to fide a return, a negligence penalty or other sanction may be imposed on you if the IRS determines that an underpayment of tax results because you overstated a deduction for this mortgage interest or for these points, reported in boxes 1 and 6; or because you didn't report the refund of Interest (box 4 or because you claimed a nondeductible Item. 8 Across or description of property securing mortgage (soo Instructions) Number of properties securing the 10 Other mortgage Account number (soo instructions) Form 1098 (Koop for your records) www.lrs.gov/Form1098 Department of the Treasury - Internal Revenue Service CHEDULE 1 Form 1040) Additional Income and Adjustments to Income OMB No. 1545-0074 2018 Attachment Sequence No. 01 Your social security number Attach to Form 1040. Go to www.irs.gov/Form 1040 for instructions and the latest information. Apartment of the Treasury Cernal Revenue Service ame(s) shown on Form 1040 1-9b 10 13 15b 16b 17 18 19 20b dditional 1-9b Reserved . . . . . . . . . . . . 10 Taxable refunds, credits, or offsets of state and local income taxes . . . . ncome . 11 Alimony received . . . . . . . . . . . . . 12 Business income or loss). Attach Schedule C or C-EZ ......... 13 Capital gain or (loss). Attach Schedule D if required. If not required. check here 14 Other gains or losses). Attach Form 4797 . . . . . . . . . . . . . . 15a Reserved . . . . . . . . . . . . 16a Reserved . . . . . . . . . . . . , 17 Rental real estate, royalties, partnerships, S corporations. trusts. etc. Attach Schedule E 18 Farm income or (loss). Attach Schedule F ........ 19 Unemployment compensation . . . . . . . . . . . 20a Reserved . . . . . . . . . . . . . . . . . . . 21 Other income. List type and amount ... 22 Combine the amounts in the far right column. If you don't have any adjustments to income, enter here and include on Form 1040. line 6. Otherwise, go to line 23 justments 23 Educator expenses . . . . . . . . . . . . 23 Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 2106. . 24 Health savings account deduction. Attach Form 8889. 2%eo 26 Moving expenses for members of the Armed Forces. Attach Form 3903 . . . . . . . . . 26 27 27 Deductible part of self-employment tax. Attach Schedule SE 28 Self-employed SEP, SIMPLE, and qualified plans.. 29 Self-employed health insurance deduction . . . . 30 Penalty on early withdrawal of savings...... 46800 31a Alimony paid b Recipient's SSN 55445555 32 IRA deduction ........ 33 Student loan interest deduction... 34 Reserved . . . . . . . . 35 Reserved .... .. . 36 Add lines 23 through 35 .. Cat. No. 71479F aperwork Reduction Act Notice, see your tax return instructions. ncome 24 30 35 36 41000 Schedule 1 (Form 1040) 2018 OMPREHENSIVE FRUD 1. John Williams (birthdate August 2, 1975) is a single taxpayer. John's earnings and withholdings as the manager of a local casino for 2018 are reported on his Form W-2: www.nute 145.00. 555-94-9358 25,000.00 31-1459656 FAST e+ file 195,800.00 128.400.00 195,800.00 2,839.10 Lucky Ace Casino 700 N Sierra Street Reno, NV 89503 John Williams 1324 Skyewalker Drive Reno, NV 89501 NVI W-2 Statement Wage and Tax 2018 Copy -To Be Fried with Employee's FEDERAL Tax Return The woman is being used to the r evenue Service John's other income includes interest on a savings account at Nevada National Bank of $13,700 John pays his ex-wife, Sarah McLoughlin, $3,900 per month in accordance with their 2012 divorce decree. When their 12-year-old child (in the ex-wife's custody) reaches the age of 18, the payments are reduced to $2,725 per month. His ex-wife's Social Security number is 554-44-5555. In 2018, John purchased a new car and so he kept track of his sales tax receipts during the year. His actual sales tax paid is $3,660, which exceeds the estimated amount per the IRS tables. John participates in a high-deductible health plan and is eligible to contribute to a health savings account. His HSA earned $125 in 2018. During the year, John paid the following amounts (all of which can be substantiated): Credit card interest $1,760 Auto loan interest 4,300 Auto insurance 900 Contribution to IRA 5,500 Property taxes on personal residence 2,640 Contributions to HSA 2,800 Income tax preparation fee 900 Charitable contributions (all cash): Boy Scouts 1,350 St. Matthews Church 3,100 U of Nevada (Reno) Medical School 26,900 Nevada Democratic Party 250 Fund-raising dinner for the Reno Auto Museum 100 (value of dinner is $25) John also received the following Form 1098: 2018 Mortgage Interest Statement O CORRECTED (if checked) RECIPIENT SLENDER'S namne, street address, city or town, state or *Caution: The wround shown may OMB No 1545-0001 province, Country, ZIP or foreign postal code, and felephone no not be My deductible by you Limits based on the loan amount and the cost and value of the Reno Bank & Trust secured property may apply. Also, 49 Commerce Street you may only deduct interest to the extend it was incurred by you. Reno, NV 89501 actually paid by you, and not reimbursed by another person Form 1098 1 Mortgage interest received from payers borrowers) $ 18,956.78 RECIPIENT'S LENDER'S TIN PAYER'S/BORROWER'S TIN 9 Outstanding mortgage 3 Mortgage origination date principal as ol 1/1/2018 03/01/2002 33-1234569 $ 592,700.00 555-94-9358 4 Refund of overpaid 5 Mortgage insurance interest promlumns PAYER'S/BORROWER'S name John Williams Points paid on purchase of principal residence 7 X address of property securing mortgage is the same as PAYER'S/BORROWER'S address, the bax is checked, or the address or description is entered in box 8. Street address (including apt. no) 1324 Skyewalker Drive City or town, state or province, country, and ZIP or foreign postal code Reno, NV 89501 Copy B For Payer/ Borrower The information in boxes 1 through 9 is important tax information and is being furnished to the IRS. W you are required to fide a return, a negligence penalty or other sanction may be imposed on you if the IRS determines that an underpayment of tax results because you overstated a deduction for this mortgage interest or for these points, reported in boxes 1 and 6; or because you didn't report the refund of Interest (box 4 or because you claimed a nondeductible Item. 8 Across or description of property securing mortgage (soo Instructions) Number of properties securing the 10 Other mortgage Account number (soo instructions) Form 1098 (Koop for your records) www.lrs.gov/Form1098 Department of the Treasury - Internal Revenue Service CHEDULE 1 Form 1040) Additional Income and Adjustments to Income OMB No. 1545-0074 2018 Attachment Sequence No. 01 Your social security number Attach to Form 1040. Go to www.irs.gov/Form 1040 for instructions and the latest information. Apartment of the Treasury Cernal Revenue Service ame(s) shown on Form 1040 1-9b 10 13 15b 16b 17 18 19 20b dditional 1-9b Reserved . . . . . . . . . . . . 10 Taxable refunds, credits, or offsets of state and local income taxes . . . . ncome . 11 Alimony received . . . . . . . . . . . . . 12 Business income or loss). Attach Schedule C or C-EZ ......... 13 Capital gain or (loss). Attach Schedule D if required. If not required. check here 14 Other gains or losses). Attach Form 4797 . . . . . . . . . . . . . . 15a Reserved . . . . . . . . . . . . 16a Reserved . . . . . . . . . . . . , 17 Rental real estate, royalties, partnerships, S corporations. trusts. etc. Attach Schedule E 18 Farm income or (loss). Attach Schedule F ........ 19 Unemployment compensation . . . . . . . . . . . 20a Reserved . . . . . . . . . . . . . . . . . . . 21 Other income. List type and amount ... 22 Combine the amounts in the far right column. If you don't have any adjustments to income, enter here and include on Form 1040. line 6. Otherwise, go to line 23 justments 23 Educator expenses . . . . . . . . . . . . 23 Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 2106. . 24 Health savings account deduction. Attach Form 8889. 2%eo 26 Moving expenses for members of the Armed Forces. Attach Form 3903 . . . . . . . . . 26 27 27 Deductible part of self-employment tax. Attach Schedule SE 28 Self-employed SEP, SIMPLE, and qualified plans.. 29 Self-employed health insurance deduction . . . . 30 Penalty on early withdrawal of savings...... 46800 31a Alimony paid b Recipient's SSN 55445555 32 IRA deduction ........ 33 Student loan interest deduction... 34 Reserved . . . . . . . . 35 Reserved .... .. . 36 Add lines 23 through 35 .. Cat. No. 71479F aperwork Reduction Act Notice, see your tax return instructions. ncome 24 30 35 36 41000 Schedule 1 (Form 1040) 2018

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Integrated Audit Practice Case

Authors: David S. Kerr, Randal J. Elder, Alvin A. Arens

7th Edition

0912503688, 978-0912503684

More Books

Students also viewed these Accounting questions