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PART IV-COMPLETE THE FOLLOWING PROBLEM SET OUT IN FIVE PARTS, NUMBERED 16-20. Show all of your work to receive full and/or partial credit. Roz and

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PART IV-COMPLETE THE FOLLOWING PROBLEM SET OUT IN FIVE PARTS, NUMBERED 16-20. Show all of your work to receive full and/or partial credit. Roz and David, a married couple, come to you to prepare their joint individual federal income tax return. They have the following forms of income: Interest Income from: Savings Account at the BMCC Bank: $500 Interest Income from City of New York municipal bonds: $1,200 Dividends Income from Verizon Corporation: $2,100 (which is qualified). $1,200 received from the Foreign Municipal Bond Interest Mutual Fund: (1) $700 is from interest received for City of Quebec, Canada municipal bonds; (2) $300 is from capital gain income; and (3) $200 is from a return of capital. Dividends received from Foreign Corporation, Inc. a foreign, non-US corporation: $400 Roz earned a salary of $56,000. David has pension income of $52,000 of which $40,000 is taxable. You calculate that Roz and David have $22,500 in itemized deductions. The couple does not have any children. 16. Which items (with amounts) and how much in total would be reported on Tax Form Schedule B. Part I, Interest for Roz and David? Show all work as to how you came to your answer. 17. Which items (with amounts) and how much in total would be reported on Tax Form Schedule B, Part II, Ordinary Dividends for Roz and David? Show all work as to how you came to your answer. 18. Line 7(b) of Form 1040 states this is your total income Based upon the information given, provide the amount of the total income for Roz and David and show all work by providing (identifying) the individual items (with amounts) as to how you came to your answer. If you need more space, you can write further below the extra credit space and note here that you are doing so. You must list all of the items that are taxable income and not excluded. 19. Roz then asks your advice as to whether she must report as income, the cost of her own meals that are reimbursed by her employer when she is out entertaining her clients and pays the check. In no more than 3-4 sentences, what do you tell Roz? 20. Roz and David now ask you whether it would be better for them to Itemize or to take the Standard Deduction on their federal income tax return. What do you tell them and why? PART IV-COMPLETE THE FOLLOWING PROBLEM SET OUT IN FIVE PARTS, NUMBERED 16-20. Show all of your work to receive full and/or partial credit. Roz and David, a married couple, come to you to prepare their joint individual federal income tax return. They have the following forms of income: Interest Income from: Savings Account at the BMCC Bank: $500 Interest Income from City of New York municipal bonds: $1,200 Dividends Income from Verizon Corporation: $2,100 (which is qualified). $1,200 received from the Foreign Municipal Bond Interest Mutual Fund: (1) $700 is from interest received for City of Quebec, Canada municipal bonds; (2) $300 is from capital gain income; and (3) $200 is from a return of capital. Dividends received from Foreign Corporation, Inc. a foreign, non-US corporation: $400 Roz earned a salary of $56,000. David has pension income of $52,000 of which $40,000 is taxable. You calculate that Roz and David have $22,500 in itemized deductions. The couple does not have any children. 16. Which items (with amounts) and how much in total would be reported on Tax Form Schedule B. Part I, Interest for Roz and David? Show all work as to how you came to your answer. 17. Which items (with amounts) and how much in total would be reported on Tax Form Schedule B, Part II, Ordinary Dividends for Roz and David? Show all work as to how you came to your answer. 18. Line 7(b) of Form 1040 states this is your total income Based upon the information given, provide the amount of the total income for Roz and David and show all work by providing (identifying) the individual items (with amounts) as to how you came to your answer. If you need more space, you can write further below the extra credit space and note here that you are doing so. You must list all of the items that are taxable income and not excluded. 19. Roz then asks your advice as to whether she must report as income, the cost of her own meals that are reimbursed by her employer when she is out entertaining her clients and pays the check. In no more than 3-4 sentences, what do you tell Roz? 20. Roz and David now ask you whether it would be better for them to Itemize or to take the Standard Deduction on their federal income tax return. What do you tell them and why

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