Note: This problem is for the $2021$ tax year.

Janice Morgan, age $24,$ is single and has no dependents. She is a freelance writer. In January $2021,$ Janice opened her own office located at $2751$ Waldham Road, Pleasant Hill, NM $88135.$ She called her business Writers Anonymous. Janice is a cash basis taxpayer. She lives at $132$ Stone Avenue, Pleasant Hill, NM $88135.$ Her Social Security number is $123-45-6782.$ Janice's parents continue to provide health insurance for her under their policy. Janice did not engage in any virtual currency transactions during the year and wants to contribute to the Presidential Election Campaign Fund. Janice received the appropriate coronavirus recovery rebates $($economic impact payments$)$; related questions in ProConnect Tax should be ignored.

During $2021,$ Janice reported the following income and expense items connected with her business.

Income from sale of articles $$95,000$

Rent $16,500$

Utilities $7,900$

Supplies $1,800$

Insurance $5,000$

Travel $($including meals of $$600)2,900$

Janice purchased and placed in service the following fixed assets for her business. Janice wants to elect immediate expensing under $179,$ if possible.

Furniture and fixtures $($new$)$ costing $$21,000$ on January $10$

Computer equipment $($new$)$ costing $$12,400$ on July $28$

Janice's itemized deductions include:

State income tax $$2,950$

Home mortgage interest paid to First National Bank $8,000$

Property taxes on home $2,500$

Charitable contribution to her alma mater, State College $1,200$

Janice did not keep a record of the sales tax she paid. The amount allowed by the sales tax table is $$437.$

Janice reports interest income of $$4,000$ on certificates of deposit at Second National Bank. She made estimated tax payments of $$5,000$ for $2021.$

Required:

Compute Janice Morgan's $2021$ Federal income tax payable $($or refund due$).$

Make realistic assumptions about any missing data.

If an amount box does not require an entry or the answer is zero, enter $"0".$

Enter all amounts as positive numbers.

The taxpayer wants $$3$ to go to the to Presidential Election Campaign.

It may be necessary to complete the other tax forms and schedules before completing Form $1040.$

Use the tax schedules $($not the tax tables$)$ included with this problem to compute the tax.

If required, round your final answers to the nearest dollar.

Form $1040$

Schedule $1$

Schedule $2$

Schedule A

Schedule B

Schedule c

Schedule SE

Form $8995$

Form $4562$