!)On December 31 of the current year, Russell Powell got married to Denise Powell. Denise had a daughter from a previous relationship that is currently 13 years old. Using your understanding of the concepts in the first 3 chapters, please draft a letter to Russell and Denise and help them understand their options for which filing status to use, and whether or not they may claim Denise's daughter as a dependent on their current year tax return.
PROJECT REQUIREMENTS: This project is split into four (4) parts with one (1) part due each week of the course. Based on your readings, use of technology, literature, and other sources do the following: Part 1-Letter: On December 31 of the current year, Russell Powell got married to Denise Powell. Denise had a daughter from a previous relationship that is currently 13 years old. Using your understanding of the concepts in the first 3 chapters, please draft a letter to Russell and Denise and help them understand their options for which filing status to use, and whether or not they may claim Denise's daughter as a dependent on their current year tax return. Your letter to Mr. Powell should summarize the facts, issues, and conclusions in non- technical language. Don't forget your authorities, cites, etc. Part 2- Tax Form: Fill out the appropriate tax form for Russell and Denise Powell. Tax forms can be obtained from the IRS website. **Be sure you save the form to your computer BEFORE you fill in any information or your data will be lost when you save the file with the data entered. Once saved, access the saved form from your computer, not the web browser.** Russell and Denise Powell are married filing jointly. Their address is 525 Spencer Street Miami, FL 33054. Additional Information about Mr. and Mrs. Powell is as follows: Russell Powell Denise Powell Social Security Number: 412-34-5670 Social Security Number: 412-34-5671 Date of Birth: 4/11/1971 Date of Birth: 7/24/1974 W-2 For Russell shows these amounts: W-2 for Denise shows these amounts: Wages (Box 1): $75,000 Wages (Box 1): $35,000 Federal W/H (Box 2): $6,950 Federal W/H (Box 2): $3,820 Social Security Wages (Box 3): $75,000 Social Security Wages (Box 3): $35,000 Social Security W/H (Box 4): $4,650 Social Security W/H (Box 4): $2,025 Medicare Wages (Box 5): $75,000 Medicare Wages (Box 5): $35,000 Medicare W/H (Box 6): $1,088 Medicare W/H (Box 6): $475 Form 1099-INT for Russell and Denise show this amount: Box 1 = $3,740 Peninsula Bank They also received tax-exempt interest of $1,500, as well as $90 for jury duty pay when Denise went to court to serve for two days. Denise received two weeks of worker's compensation pay for a total of $1,750. Dependent: Daughter Sarah Powell. Her date of birth is 6/15/2008. Her Social Security number is 412-34-5672
