please help me to fill the blanks for
24,25,26,and 27
Instructions Note: This problem is for the 2019 tax year. Daniel B. Butler and Freida C. Butler, husband and wife, file a joint return. The Butlers live at 625 Oak Street in Corbin, KY 40701. Dan's Social Security number is 111-11-1112, and Freida's is 123-45-6780. Dan was born on January 15, 1968, and Freida was born on August 20, 1969. During 2019, Dan and Freida furnished over half of the total support of each of the following individuals, all of whom still live at home: a. Gina, their daughter, age 22, a full-time student, who married on December 21, has no income of her own and did not file a joint return with her husband, Casey, who earned $10,600 during 2019. Gina's Social Security number is 123-45-6788. b. Willie, their son, age 19. graduated high school in May 2019. He is taking a leap year and will not begin college until 2020. He had gross income of $6,300 in 2019. Willie's Social Security number is 123-45-6787 c. Ben, their oldest son, age 26, is a full-time graduate student with gross income of $5,200. Ben's ial Security number is 123-45-6786. Dan was employed as a manager by WB, Inc. (employer identification number 11-1111111, 604 Franklin Street, Corbin, KY 40702), and Freide was employed as a salesperson for Corbin Realty, Inc. (employer identification number 98-7654321, 899 Central Street, Corbin, ky 40701). Selected information from the W-2 forms provided by the employers is presented below. Dan and Frelda use the cash method. Line Description Dan Freida 1 Wages, tips, other compensation $74,000 $86,000 2 Federal Income tax withheld 11,000 12.400 17 State income tax withheld 2,960 3.440 Freida sold a house on December 30, 2019, and will be paid a commission of $3,100 (not included in the $86,000 reported on the W-2) on the January 10, 2020, closing date. Other income (as reported on 1099 Forms) for 2019 consisted of the following Dividends on CSX stock (qualified) Interest on savings at Second Bank Interest on City of Corbin bands Interest on First Bank CD $4,200 1,600 900 362 The $382 from First Bank an original issue discount. Dan and Freide collected $16,000 on the First Bank CD that matured on September 30, 2019. The CD was purchased on October 1, 2017 for $14.995, and the yield to maturity was 3.3%. Dan participated on a game show and won a cash prize of $7,000 In addition to the above information, Dan and Frelda's itemized deductions included the following: Pald on 2019 Kentucky income tax 5700 Personal property tax paid 600 Real estate taxes paid 1,800 Interest on home mortgage (Corbin S&L) 4,900 Cash contributions to the United Way 800 Sales tax from the sales tax table is $1,860. Dan and Freida made Federal estimated tax payments of $8,000. They have never owned or used any virtual currency, and they do not wish to contribute to the Presidential Election Campaign. The Kentucky income tax rate is 4%. Required: Compute Dan and Freida's 2019 Federal income tax payable (or refund due). Use Form 1040 and Schedules 1, 3, B and the Qualified Dividends and Capital Gain Tax Worksheet to complete this tax return. If there is a tax overpayment, the Butlers would like a refund. If additional tax is due, assume no underpayment penalty applies. It may be necessary to complete the tax schedules before completing Form 1040 Enter all amounts as positive numbers. If an amount box does not require an entry or the answer is zero, enter "O". When computing the tax liability, do not round your immediate calculations. If required, round your answers to the nearest dollar. Make realistic assumptions about any missing data. Use the Tax Rate Schedule provided. Do not use the Tax Tables. Use the 2019 Tax Rate Schedules to compute the tax. (Note: Because the tax rate schedules are used instead of the tax tables, the amount of tax computed may vary slightly from the amount listed in the tables.) 2019 Tax Rate Schedules Single-Schedule X Head of household Schedule Z If taxable income is: Over- of the amount over But not over If taxable income is: Over of the amount But not over The tax is: The tax is: over $0 $ 9,700 10% $0 $0 10% $0 $13,850 52,850 9,700 39,475 $ 970.00 + 12% 9,700 13,850 $ 1,385.00 + 12% 13,850 39,475 84,200 4,543.00 + 22% 39,475 52,850 84,200 6,065.00 + 22% 52,850 84,200 84,200 160,725 14,382.50 + 24% 84,200 84,200 160,700 12,962.00 + 24% 31,322.00 + 32% 160,725 204,100 32,748.50 + 3296 160,725 204,100 160,700 160,700 204,100 204,100 510,300 204,100 510,300 45,210.00 + 35% 204,100 46,628.50 35% 153,798.50 + 37% 510,300 510,300 510.300 152,380.00 + 37% 510,300 Married filing jointly or Qualifying widow(er) Schedule Y-1 Married filing separately Schedule Y-2 of the If taxable income is: Over- But not over- If taxable income is: Over amount over The tax is: of the amount over- But not over- The tax is: $0 $ 19,400 ...... 109 $0 $0 $ 9,700 ..... 109 $0 19,400 19,400 9,700 39,475 9,700 $ 970.00 + 12% 4,543.00 + 22% $ 1,940.00 + 12% 9,086.00 + 22% 28,765.00 + 24% 78,950 84,200 78,950 168,400 39,475 78,950 168,400 321,450 408,200 612,350 39,475 84,200 168,400 160,725 14,382.50 + 24% 65,497.00 + 32% 160,725 204,100 321,450 408,200 612,350 321,450 408,200 32,748.50 + 32% 46,628.50 + 35% 84,200 160,725 204,100 306,175 93,257.00 + 35% 204,100 305,175 164,709.50 + 37% 612,350 306.175 ++++ 82,354.75 + 37% Qualified Dividends and Capital Gain Tax Worksheet The worksheet will assist you in determining the tax liability. If an amount is zero, enter "o". Use the 2019 Tax Rate Schedule provided. Do not use the Tax Tables. Qualified Dividends and Capital Gain Tax Worksheet-Line 12a Keep for Your Records Before you begin: See the earlier instructions for line 12a to see if you can use this worksheet to figure your tax. Before completing this worksheet, complete Form 1040 through line 11b. If you do not have to file Schedule D and you received capital gain distributions, be sure you checked the box on Form 1040 or 1040-SR, line 6, 1. 148,782 1. Enter the amount from Form 1040 or 1040-SR, line 116. However, if you are filing Form 2555 or 2555-EZ (relating to foreign earned income), enter the amount from line 3 of the Foreign Earned Income Tax Worksheet (Taxable income 2. Enter the amount from Form 1040, line 32 2. 4,200 3. Are you filing Schedule 07" Yes Enter the smaller of line 15 or 16 of Schedule D. If 3. 0 either line 15 or line 16 is blank or a loss, enter-0- NO Enter the amount from Form 1040 or 1040-SR, line 6. 4. Add lines 2 and 3 4. 4.200 6. 4. Add lines 2 and 3. 4. 4,200 5. If filing Form 4952 (used to figure investment interest expense deduction), enter any amount from line 4g of that form. Otherwise, enter-O- 6. Subtract line 5 from line 4. If zero or less, enter-0 5. O 6. 4,200 7. Subtract line 6 from line 1. If zero or less, enter- 7. 144,582 8. Enter: 8. 78,750 $39,375 if single or married filing separately, $78,750 if married filing jointly or qualifying widow(er), $52,750 if head of household. 9. Enter the smaller of line 1 or line 8 9. 78,750 10. 78,750 10. Enter the smaller of line 7 or line 9 11. Subtract line 10 from line 9. This amount is taxed at 0%. 12. Enter the smaller of line 1 or line 6 11. 0 12 4,200 13. Enter the amount from line 11 13, 0 14. Subtract line 13 from line 12 14 4,2007 14. Subtract line 13 from line 12 14. 4,200 15. Enter: ... $434,550 if single, $244,425 if married filing separately, 15. 488,850 $488,850 if married filing jointly or qualifying widow(er), $461,700 if head of household. 16. Enter the smaller of line 1 or line 15 16. 148,782 17. Add lines 7 and 11 17. 144,582 18. Subtract line 17 from line 16. If zero or less, enter-o- 18. 4,200 19. Enter the smaller of line 14 or line 18 19. 4,200 20. Multiply line 19 by 15% (0.15).. 20. 21. Add lines 11 and 19 21. 4,200 22. Subtract line 21 from line 12 22. 07 23. Multiply line 22 by 20% (0.20). 23. 24. Figure the tax on the amount on line 7. If the amount on line 7 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 7 is $100,000 or more, use the Tax Computation Worksheet. 24. 25. Add lines 20, 23, and 24... 25. 630 16. Enter the smaller of line 1 or line 15. . 16. 148,782 17. 17. Add lines 7 and 11 144,582 18. 18. Subtract line 17 from line 16. If zero or less, enter-0- . 4,200 19. 19. Enter the smaller of line 14 or line 18 4,200 20. 630 20. Multiply line 19 by 15% (0.15). 21. 21. Add lines 11 and 19 4,200 22. 0 22. Subtract line 21 from line 12 23. 0 23. Multiply line 22 by 20% (0.20) 24. 25. 24. Figure the tax on the amount on line 7. If the amount on line 7 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 7 is $100,000 or more, use the Tax Computation Worksheet. 25. Add lines 20, 23, and 24 26. Figure the tax on the amount on line 1. If the amount on line 1 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 1 is $100,000 or more, use the Tax Computation Worksheet 27. Tax on all taxable income. Enter the smaller of line 25 or 26. Also include this amount on the entry space on Form 1040 or 1040-SR, line 12a. If you are filing Form 2555, don't enter this amount on the entry space on Form 1040 or 1040-SR, line 12a. Instead, enter it on line 4 of the Foreign Earned Income Tax Worksheet 26. 27. "If you are filing Form 2555 or 2555-E2, see the footnote in the Foreign Earned Income Tax Worksheet before completing this line. Instructions Note: This problem is for the 2019 tax year. Daniel B. Butler and Freida C. Butler, husband and wife, file a joint return. The Butlers live at 625 Oak Street in Corbin, KY 40701. Dan's Social Security number is 111-11-1112, and Freida's is 123-45-6780. Dan was born on January 15, 1968, and Freida was born on August 20, 1969. During 2019, Dan and Freida furnished over half of the total support of each of the following individuals, all of whom still live at home: a. Gina, their daughter, age 22, a full-time student, who married on December 21, has no income of her own and did not file a joint return with her husband, Casey, who earned $10,600 during 2019. Gina's Social Security number is 123-45-6788. b. Willie, their son, age 19. graduated high school in May 2019. He is taking a leap year and will not begin college until 2020. He had gross income of $6,300 in 2019. Willie's Social Security number is 123-45-6787 c. Ben, their oldest son, age 26, is a full-time graduate student with gross income of $5,200. Ben's ial Security number is 123-45-6786. Dan was employed as a manager by WB, Inc. (employer identification number 11-1111111, 604 Franklin Street, Corbin, KY 40702), and Freide was employed as a salesperson for Corbin Realty, Inc. (employer identification number 98-7654321, 899 Central Street, Corbin, ky 40701). Selected information from the W-2 forms provided by the employers is presented below. Dan and Frelda use the cash method. Line Description Dan Freida 1 Wages, tips, other compensation $74,000 $86,000 2 Federal Income tax withheld 11,000 12.400 17 State income tax withheld 2,960 3.440 Freida sold a house on December 30, 2019, and will be paid a commission of $3,100 (not included in the $86,000 reported on the W-2) on the January 10, 2020, closing date. Other income (as reported on 1099 Forms) for 2019 consisted of the following Dividends on CSX stock (qualified) Interest on savings at Second Bank Interest on City of Corbin bands Interest on First Bank CD $4,200 1,600 900 362 The $382 from First Bank an original issue discount. Dan and Freide collected $16,000 on the First Bank CD that matured on September 30, 2019. The CD was purchased on October 1, 2017 for $14.995, and the yield to maturity was 3.3%. Dan participated on a game show and won a cash prize of $7,000 In addition to the above information, Dan and Frelda's itemized deductions included the following: Pald on 2019 Kentucky income tax 5700 Personal property tax paid 600 Real estate taxes paid 1,800 Interest on home mortgage (Corbin S&L) 4,900 Cash contributions to the United Way 800 Sales tax from the sales tax table is $1,860. Dan and Freida made Federal estimated tax payments of $8,000. They have never owned or used any virtual currency, and they do not wish to contribute to the Presidential Election Campaign. The Kentucky income tax rate is 4%. Required: Compute Dan and Freida's 2019 Federal income tax payable (or refund due). Use Form 1040 and Schedules 1, 3, B and the Qualified Dividends and Capital Gain Tax Worksheet to complete this tax return. If there is a tax overpayment, the Butlers would like a refund. If additional tax is due, assume no underpayment penalty applies. It may be necessary to complete the tax schedules before completing Form 1040 Enter all amounts as positive numbers. If an amount box does not require an entry or the answer is zero, enter "O". When computing the tax liability, do not round your immediate calculations. If required, round your answers to the nearest dollar. Make realistic assumptions about any missing data. Use the Tax Rate Schedule provided. Do not use the Tax Tables. Use the 2019 Tax Rate Schedules to compute the tax. (Note: Because the tax rate schedules are used instead of the tax tables, the amount of tax computed may vary slightly from the amount listed in the tables.) 2019 Tax Rate Schedules Single-Schedule X Head of household Schedule Z If taxable income is: Over- of the amount over But not over If taxable income is: Over of the amount But not over The tax is: The tax is: over $0 $ 9,700 10% $0 $0 10% $0 $13,850 52,850 9,700 39,475 $ 970.00 + 12% 9,700 13,850 $ 1,385.00 + 12% 13,850 39,475 84,200 4,543.00 + 22% 39,475 52,850 84,200 6,065.00 + 22% 52,850 84,200 84,200 160,725 14,382.50 + 24% 84,200 84,200 160,700 12,962.00 + 24% 31,322.00 + 32% 160,725 204,100 32,748.50 + 3296 160,725 204,100 160,700 160,700 204,100 204,100 510,300 204,100 510,300 45,210.00 + 35% 204,100 46,628.50 35% 153,798.50 + 37% 510,300 510,300 510.300 152,380.00 + 37% 510,300 Married filing jointly or Qualifying widow(er) Schedule Y-1 Married filing separately Schedule Y-2 of the If taxable income is: Over- But not over- If taxable income is: Over amount over The tax is: of the amount over- But not over- The tax is: $0 $ 19,400 ...... 109 $0 $0 $ 9,700 ..... 109 $0 19,400 19,400 9,700 39,475 9,700 $ 970.00 + 12% 4,543.00 + 22% $ 1,940.00 + 12% 9,086.00 + 22% 28,765.00 + 24% 78,950 84,200 78,950 168,400 39,475 78,950 168,400 321,450 408,200 612,350 39,475 84,200 168,400 160,725 14,382.50 + 24% 65,497.00 + 32% 160,725 204,100 321,450 408,200 612,350 321,450 408,200 32,748.50 + 32% 46,628.50 + 35% 84,200 160,725 204,100 306,175 93,257.00 + 35% 204,100 305,175 164,709.50 + 37% 612,350 306.175 ++++ 82,354.75 + 37% Qualified Dividends and Capital Gain Tax Worksheet The worksheet will assist you in determining the tax liability. If an amount is zero, enter "o". Use the 2019 Tax Rate Schedule provided. Do not use the Tax Tables. Qualified Dividends and Capital Gain Tax Worksheet-Line 12a Keep for Your Records Before you begin: See the earlier instructions for line 12a to see if you can use this worksheet to figure your tax. Before completing this worksheet, complete Form 1040 through line 11b. If you do not have to file Schedule D and you received capital gain distributions, be sure you checked the box on Form 1040 or 1040-SR, line 6, 1. 148,782 1. Enter the amount from Form 1040 or 1040-SR, line 116. However, if you are filing Form 2555 or 2555-EZ (relating to foreign earned income), enter the amount from line 3 of the Foreign Earned Income Tax Worksheet (Taxable income 2. Enter the amount from Form 1040, line 32 2. 4,200 3. Are you filing Schedule 07" Yes Enter the smaller of line 15 or 16 of Schedule D. If 3. 0 either line 15 or line 16 is blank or a loss, enter-0- NO Enter the amount from Form 1040 or 1040-SR, line 6. 4. Add lines 2 and 3 4. 4.200 6. 4. Add lines 2 and 3. 4. 4,200 5. If filing Form 4952 (used to figure investment interest expense deduction), enter any amount from line 4g of that form. Otherwise, enter-O- 6. Subtract line 5 from line 4. If zero or less, enter-0 5. O 6. 4,200 7. Subtract line 6 from line 1. If zero or less, enter- 7. 144,582 8. Enter: 8. 78,750 $39,375 if single or married filing separately, $78,750 if married filing jointly or qualifying widow(er), $52,750 if head of household. 9. Enter the smaller of line 1 or line 8 9. 78,750 10. 78,750 10. Enter the smaller of line 7 or line 9 11. Subtract line 10 from line 9. This amount is taxed at 0%. 12. Enter the smaller of line 1 or line 6 11. 0 12 4,200 13. Enter the amount from line 11 13, 0 14. Subtract line 13 from line 12 14 4,2007 14. Subtract line 13 from line 12 14. 4,200 15. Enter: ... $434,550 if single, $244,425 if married filing separately, 15. 488,850 $488,850 if married filing jointly or qualifying widow(er), $461,700 if head of household. 16. Enter the smaller of line 1 or line 15 16. 148,782 17. Add lines 7 and 11 17. 144,582 18. Subtract line 17 from line 16. If zero or less, enter-o- 18. 4,200 19. Enter the smaller of line 14 or line 18 19. 4,200 20. Multiply line 19 by 15% (0.15).. 20. 21. Add lines 11 and 19 21. 4,200 22. Subtract line 21 from line 12 22. 07 23. Multiply line 22 by 20% (0.20). 23. 24. Figure the tax on the amount on line 7. If the amount on line 7 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 7 is $100,000 or more, use the Tax Computation Worksheet. 24. 25. Add lines 20, 23, and 24... 25. 630 16. Enter the smaller of line 1 or line 15. . 16. 148,782 17. 17. Add lines 7 and 11 144,582 18. 18. Subtract line 17 from line 16. If zero or less, enter-0- . 4,200 19. 19. Enter the smaller of line 14 or line 18 4,200 20. 630 20. Multiply line 19 by 15% (0.15). 21. 21. Add lines 11 and 19 4,200 22. 0 22. Subtract line 21 from line 12 23. 0 23. Multiply line 22 by 20% (0.20) 24. 25. 24. Figure the tax on the amount on line 7. If the amount on line 7 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 7 is $100,000 or more, use the Tax Computation Worksheet. 25. Add lines 20, 23, and 24 26. Figure the tax on the amount on line 1. If the amount on line 1 is less than $100,000, use the Tax Table to figure the tax. If the amount on line 1 is $100,000 or more, use the Tax Computation Worksheet 27. Tax on all taxable income. Enter the smaller of line 25 or 26. Also include this amount on the entry space on Form 1040 or 1040-SR, line 12a. If you are filing Form 2555, don't enter this amount on the entry space on Form 1040 or 1040-SR, line 12a. Instead, enter it on line 4 of the Foreign Earned Income Tax Worksheet 26. 27. "If you are filing Form 2555 or 2555-E2, see the footnote in the Foreign Earned Income Tax Worksheet before completing this line
