Pease complete Queen Bee Plumbing's 2021 tax return based upon the facts presented below. If required information is missing, use reasonable assumptions to fill in the gaps. Ignore all AMT calculations and AMT related reporting items. Taylor Queen and Richard Bee have been life-long friends. After nearly a decade of working for that same company, Taylor and Richard decided to venture out on their own and form their own plumbing company called Queen Bee Plumbing. They formed Queen Bee as a limited liability company (LLC). Taylor and Richard each own 50% of the company. terest is 50% For any 'yes' or 'no' questions on Schedule B, assume the answer is 'no' unless explicitly stated in the facts below. Other information: For any 'yes' or 'no' questions on Schedule B, assume the answer is 'no' unless explicitly stated in the facts below. - Queen Bee is a domestic limited liability company. - Taylor and Richard are U.S. citizens and are not related, each owning 50% of the LLC - Both Taylor and Richard are managing members - All of Queen Bee's activities constitute a qualified trade or business, and the salaries and wages expense from the income statement is the same as W-2 wages paid by Queen Bee in 2021. The total unadjusted basis for all assets placed in service for the prior 10 years matches the cost of all assets reported on the balance sheet. - Taylor is the Partnership Representative. - Both Taylor and Richard are active in the business and work full-time for Queen Bee. - Queen Bee does not maintain any inventory. The debt owed to First National Bank is a non-recourse obligation and neither Taylor nor Richard have guaranteed its repayment (see balance sheet below). This debt is not directh tied to any specific asset but is rather a debt secured against all of the assets of the company (i.e. qualitied noniecourse debt) During the year, Taylor and Richard each contributed $20,000 to the capital of Queen Bee During theyear, Taylor and Richard each received a $60,000 distribution from Queen Bee. MACRS tax depreciation calculated on the Form 4562 (not required for completion) is 595,000. Expenses: Advertising Automobile Expense Depreciation Guaranteed payment-Bee Guaranteed payment-Queen Insurance Expense Interest Expense Meals Office Supplies Payroll Taxes Penalties \& Fines Plumbing supplies Property Taxes Rent Salaries and Wages Telephone Travel (no entertainment or meals) Utilities Total Expenses: $15,00025,00085,00040,00060,00075,00043,00014,0003,50045,0002,50015,00050,00035,000300,00016,0004,25015,000843,250 Net income: $289,000 Queen Bee Pumbing, Ltc Balance Sheet December 31, 2021 Complete columns (i) through (v) below for any foreign or domestic corporation, partnership (including any entity treated as a partnership), trust, tax-exempt organization, or any foreign government that owns, directly or indirectly, an interest of 50% or more in the profit, loss, or capital of the partnership (see instructions). Hartul Individuals or Estates Owning 50% or More of the Partnership (Form 1065, Schedule B, Question 2b (Question 3b for 2009 through 2017) Part II Individuals or Estates Owning 50% or More of the Partnership (Form 1065, Schedule B, Question 2b (Question 3b for 2009 through 2017)) Complete columns (i) through (iv) below for any individual or estate that owns, directly or indirectly, an interest of 50% or more in the srofit, loss, or capital of the partnership (see instructions). Schedule K-1 (Form 1065) Department of the Treasury Intemal Revenue Serice Partner's Share of Income, Deductions, 2021 Part III Partner's Share of Current Year Income, Deductions, Credits, and Other Items Credits, etc. - See back of form and separate instructions. 1 Ordinary business income foss) 14 Self-employment eaming (loss) Part I Information About the Partnership 2 Net rental real estate income (loss) A Parnentip's employer identificison number B Partnerthip's name, address, cily, stare, and 21P code Pease complete Queen Bee Plumbing's 2021 tax return based upon the facts presented below. If required information is missing, use reasonable assumptions to fill in the gaps. Ignore all AMT calculations and AMT related reporting items. Taylor Queen and Richard Bee have been life-long friends. After nearly a decade of working for that same company, Taylor and Richard decided to venture out on their own and form their own plumbing company called Queen Bee Plumbing. They formed Queen Bee as a limited liability company (LLC). Taylor and Richard each own 50% of the company. terest is 50% For any 'yes' or 'no' questions on Schedule B, assume the answer is 'no' unless explicitly stated in the facts below. Other information: For any 'yes' or 'no' questions on Schedule B, assume the answer is 'no' unless explicitly stated in the facts below. - Queen Bee is a domestic limited liability company. - Taylor and Richard are U.S. citizens and are not related, each owning 50% of the LLC - Both Taylor and Richard are managing members - All of Queen Bee's activities constitute a qualified trade or business, and the salaries and wages expense from the income statement is the same as W-2 wages paid by Queen Bee in 2021. The total unadjusted basis for all assets placed in service for the prior 10 years matches the cost of all assets reported on the balance sheet. - Taylor is the Partnership Representative. - Both Taylor and Richard are active in the business and work full-time for Queen Bee. - Queen Bee does not maintain any inventory. The debt owed to First National Bank is a non-recourse obligation and neither Taylor nor Richard have guaranteed its repayment (see balance sheet below). This debt is not directh tied to any specific asset but is rather a debt secured against all of the assets of the company (i.e. qualitied noniecourse debt) During the year, Taylor and Richard each contributed $20,000 to the capital of Queen Bee During theyear, Taylor and Richard each received a $60,000 distribution from Queen Bee. MACRS tax depreciation calculated on the Form 4562 (not required for completion) is 595,000. Expenses: Advertising Automobile Expense Depreciation Guaranteed payment-Bee Guaranteed payment-Queen Insurance Expense Interest Expense Meals Office Supplies Payroll Taxes Penalties \& Fines Plumbing supplies Property Taxes Rent Salaries and Wages Telephone Travel (no entertainment or meals) Utilities Total Expenses: $15,00025,00085,00040,00060,00075,00043,00014,0003,50045,0002,50015,00050,00035,000300,00016,0004,25015,000843,250 Net income: $289,000 Queen Bee Pumbing, Ltc Balance Sheet December 31, 2021 Complete columns (i) through (v) below for any foreign or domestic corporation, partnership (including any entity treated as a partnership), trust, tax-exempt organization, or any foreign government that owns, directly or indirectly, an interest of 50% or more in the profit, loss, or capital of the partnership (see instructions). Hartul Individuals or Estates Owning 50% or More of the Partnership (Form 1065, Schedule B, Question 2b (Question 3b for 2009 through 2017) Part II Individuals or Estates Owning 50% or More of the Partnership (Form 1065, Schedule B, Question 2b (Question 3b for 2009 through 2017)) Complete columns (i) through (iv) below for any individual or estate that owns, directly or indirectly, an interest of 50% or more in the srofit, loss, or capital of the partnership (see instructions). Schedule K-1 (Form 1065) Department of the Treasury Intemal Revenue Serice Partner's Share of Income, Deductions, 2021 Part III Partner's Share of Current Year Income, Deductions, Credits, and Other Items Credits, etc. - See back of form and separate instructions. 1 Ordinary business income foss) 14 Self-employment eaming (loss) Part I Information About the Partnership 2 Net rental real estate income (loss) A Parnentip's employer identificison number B Partnerthip's name, address, cily, stare, and 21P code