Need to Help doing full Federal Income tax, then instructions are attached, please help. any guidance is appreciated

w Federal Individual Income Tax Return Fall 2018 Q Search in Document Home Insert Design Layout References Mailings Review View "+ Share Calibri (Body) 12 . A- A- Aa AaBbCcDdEe AaBbCcDdEe AaBbCcDc AaBbCcDdEE AaBbC AaBbCcDdEe AaBbCcDdEe AaBbCcDdEe Paste U . abe X2 X2 ATX Normal No Spacing Heading 1 Heading 2 Title Subtitle Subtle Emph Emphasis Styles Pan Federal Individual Income Tax Return Problem #1 Part 1 6. 2018 Expenditures: Fall 2018 Mortgage Payments totaled $15,264 paid to Brighton National Bank, of which $7,800 was interest. No points were paid, and no mortgage insurance was paid. They also have a home Objective: To complete a basic Federal Individual Income Tax return, with all necessary forms, schedules, and equity line of credit (HELOC) which they advance for a home remodeling project. The HELOC tatements. Students will have to problem solve the completion of the return, relying on team members, form interest paid in 2018 was $745. nstructions, textbook resources, and knowledge acquired in class. b. Cass County property taxes paid was $3,200. There were no specials paid. John and Abby Johnson are married with 3 children. They live at 2534 35th Ave S, Fargo, ND, 58103. The family moved from SD in December, 2017. They are full-time ND residents for 2018. The following information are John and Abby gave $4,500 to their Church, $1,500 to the Fargo Foundation for Education, $100 letails related to these taxpayers. to the UND Foundation, $600 to the American Red Cross, all of which are qualifying charities and issued statements to the couple substantiating the gifts were given and no services were 1. John Trevor Johnson is a business operations manager for Winfield, Inc. (EIN 11-1111111, 604 5th Ave provided. S, Fargo, ND 58103). His date of birth (DOB) is 1/24/1966, his SSN is 455-62-6547. He had wages of $74,000, with Federal income tax withholding of $11,000, and State income tax withholding of $2,960. Out of pocket medical expenditures for the family included $560 for dental cleanings, and $740 2. Abby Lynn Johnson is a financial analyst for Brighton National Bank (EIN 22-2222222. 3251 32nd Ave S, for vision exams. Fargo, ND 58103). Her DOB is 5/9/1968, her SSN is 514-23-4789. She had wages of $86,000, with e. The couple made a $250 contribution to the campaign of a candidate for governor. Federal income tax withholding of $12,400, and State income tax withholding of $3,440. f. Sales tax from the sales tax table is $1,860. 3. Children: a. Gina Renae, their daughter, age 22 (DOB 7/24/96), a full-time student, who married on g. The couple paid $650 to have their tax return prepared by a local CPA for the 2017 tax year. December 21, 2015, has no income of her own and for 2018 did not file a joint return with her husband, Casey, who earned $10,600 during 2018. Gina's Social Security number is 123-45- 6788. 7. 1 The couple received a Federal Income Tax Refund in the amount of $1,240 for their 2017 return, and they did not itemize their deductions in 2017. Sam Robert, their son, age 18 (DOB 9/21/00), who had gross income of $4,200 in 2018. He had 8. The couple does not wish to contribute to the Presidential Election Campaign. graduated from high school in May 2018, and started college full-time in August 2018. His uition was $4,250, books were $675, and room and board was $3,500 for fall semester. Sam's Social Security number is 123-45-6787. John has a consulting business (Schedule C) in which he advises clients throughout the US and Canada on business matters. He is paid on a contract basis. He started this business on January 1, 2016, and Ben Louis, their youngest son, age 15 (DOB 2/11/03), attends high school and lives with his was a material participant in this business for the current year (this is not a hobby). The following is a list of revenues and expenditures for the current year related solely to this consulting business: parents. Ben does not have a job. Ben's Social Security number is 123-45-6786. Fees for services rendered $62,800 4. All family members had health insurance coverage for the entire year. Airfare 8,20 Meals 5. 2018 income as reported on 1099 Forms (all jointly owned): 6,10 Dividends on CSX stock (qualified) $4,200 Lodging Interest on savings at Second Bank $1,600 Transportation (taxis, shuttles, car rentals) 920 Interest on City of Corbin bonds $900 Advertising Office expenses Interest on First Bank CD $382 Business insurance 1,20 The $382 from First Bank was original issue discount. John and Abby collected $16,000 Business phone/internet on the First Bank CD that matured on September 30, 2018. The CD was purchased on Subscriptions to trade journals October 1, 2016, for $14,995, and the yield to maturity was 3.3%. Membership dues to trade associations 240 180 On 11/8/18, John and Abby sold Amber, Inc. stock for $22,000 that they had purchased of $24,000 on 12/5/13. On 12/1/18 they sold Falcon, Inc. stock for $13,500, which had been purchased for $8,000 on 7/2/15. Page 1 of 4 1121 Words English (US) Focus 100%Federal Individual Income Tax Return Fall 2018 Q Search in Document Home Insert Design Layout References Mailings Review View "+ Share Calibri (Body) 12 . A- A- Aa AaBbCcDdEe AaBbCcDdEe AaBbCcDc AaBbCcDdEe AaBbC AaBbCcDdEE AaBbCcDdEe AaBbCcDdEe Paste U . abe X2 X2 |Av Normal No Spacing Heading 1 Heading 2 Subtitle Subtle Emph Emphasis Styles Pan John purchased a heavy duty, fire-resistant file cabinet with security-vault features for $4,800 on 3/5/18 (7 year property). He wants to expense as much of this cost as possible in 2018 (does not want to capitalize and depreciate over 7 years). John does not have any other depreciable assets. 10. John has a home office that is 300 square feet of dedicated space that is used solely for his consulting business. John uses the simplified method for calculating his home office deduction. Required: 1) Prepare the Federal Individual Income tax return, including Form 1040, Schedule A, Schedule B, Schedule D and any other additional forms and Federal Statements that may be required, using the draft forms in Blackboard. If you feel a form is missing, go to the IRS website for Draft 2018 forms: https://apps.irs.gov/app/picklist/list/draftTaxForms.html For Education Credits, use the 2017 form and instructions (I did not see any draft forms available). For the Statements you will need to create your own Word document, be sure you put the Taxpayer's name and EIN on the top of the statement page (there is no fill-in statement form) Statements are used to explain, or provide more detail for a specific line item on the tax return 2) One member of your group will be designated at the preparer and will be required to sign the tax return. You pick who this individual is. If I have any questions, this is the individual I will contact. Include your firm's name, address, EIN, & PTIN. You are not self-employed. 3) For the tax return: round all numbers to whole dollars (do not use decimals), do not enter "0" into lines that do not have an amount (leave them blank), make sure all necessary boxes are checked, questions answered, and required statements are completed. Attach all forms in sequential order You do not have to attach instructions, but do attach any worksheets to support your calculations ie: tax calculations). 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