please show calculations

Use the following information to complete Sara Vidal's 2020 federal income tax return. Ignore the requirement to attach the Form(s) W-2 to the Form 1040. If information is missing from these facts, use reasonable assumptions to ll in gaps; otherwise, post a question to the appropriate discussion board. Note: when computing the tax liability, use the method we used in class based on the tax brackets in your quick reference guide, not any tax tables provided by the IRS. Facts: 1. Sara Vidal is employed as a quality engineer at Blaze Corporation. Sara lives in a home that she purchased 2 years ago. She is not married. Sara provides more than half of the support for her children, Lydia and Richard. Lydia lived with Sara for the entire year. Richard lived with Sara for 9 months this year. Richard moved out to live with his fiance in October (Richard and his ancee were not married as of the end of the year). Sara also provided the following information: Sara does not want to contribute to the presidential election campaign. Sara lives at 1234 Aurora Lane, San Jose, CA 95008. Sara's birthday is 5126! 1968 and her Social Security number is 123-45-6289. Richard Harrison is 22 years old and his Social Security number is 987-65-4321. Lydia Harrison is 16 years old and her Social Security number is 123-99-9999. Sara does not have any foreign bank accounts or trusts. 000000 2. Sara received a Form W-2 from Blaze Corporation that contained the following information: Line 1 Wages, tips, other compensation: $22,412 Line 2 Federal income tax withheld: 6,892 Line 3 Social Security wages: 80,000 Line 4 Social Security tax withheld: 4,960 Line 5 Medicare wages and tips: 80,000 Line 6 Medicare tax withheld: 1,160 Line 17 State income tax withheld: 4,900 3. Sara and a few of her co-workers have dreams of being on TV. Sara spent $1,240 on workout equipment to train for American Extreme Sport Champion. She did not make the cut. As a backup plan, she and her co-workers created a band (Quality Control), to audition for the latest singing reality show. They won't audition until 2021, but they have already scheduled 3 gigs for 2021. Sara receives $250 per performance, paid after each show. 4. Sara received $278 in interest from Brown County (a county in Wisconsin) bonds, $945 interest from Zephyr Corporation bonds, and $515 interest from a savings account at Savers Credit Union. None of the interest is from private activity bonds. She received a $695 dividend from Tomorrow, Inc. and an $842 dividend from Billboard, Inc. Both dividends are qualied dividends. These amounts were reported to her by each company on the proper Form 1099. 5. Richard was a full-time college student, in his fourth year of college. Sara paid Richard's tuition of $12,000. The amounts were all properly reported on Form 1098-T (San Jose State 5. Richard was a full-time college student, in his fourth year of college. Sara paid Richard's tuition of $12,000. The amounts were all properly reported on Form 1098-T (San Jose State University, 1 Washington Square, San Jose CA 95192, identifying number 34-5555555). Sara took out a $10,000 loan to help pay for these expenses. The loan was outstanding all year and Sara paid interest at a rate of 5.5%. 6. Sara paid $12,562 in mortgage interest to Savers Credit Union during the year (reported on Form 1098). The outstanding balance on the loan is $514,802. She also paid $7,652 in real property taxes during the year to the taxing authority (i.e., not into escrow). 7. Last year, Sara took out a home equity loan ($20,000) to build a shed in her backyard, used to store Richard's umbrella collection. Sara paid $612 of interest on the loan this year (paid to Savers Credit Union and reported on Form 1098). Unfortunately, but rather ironically, heavy rains this year caused a landslide to bring down the shed (basis = $20,000, FMV after landslide = 0, uninsured). San Jose was not a federally declared disaster area. 8. Sara sold 200 shares of Brown-Forman Corporation (BF-B) stock for $79 a share on October 12, 2020. She purchased the BF-B stock on December 15, 2014, for $29 a share. She also sold 250 shares of Comcast (CMCSA) stock for $32 a share on April 1, 2020. She purchased the CMCSA stock for $43 a share on April 25, 2019. Sara's brokerage reported stock basis amounts to the IRS and to her on Form 1099-B. She repurchased 25 shares of CMSCA on December 31, 2020 for $35 a share. 9. In 2020, Sara and her children incurred the following medical expenses during the year. The amounts reported are amounts paid in excess of insurance reimbursements. Hospital stay $5,780 Prescription medications 621 Over-the-counter medications 52 Doctor and dentist visits 500 Physical therapy 1,511 9. Sara also received $2,000 of workers compensation payments following an accident in the manufacturing area at work.10. Sara paid $2,500 for Lydia's soccer day-camp over the summer. The camp was run by San Diego State University. 11. Sara contributed $450 cash to the Thinkin' About Tomorrow Conservation Fund during the year (all proper receipts were provided). The Fund is a qualied public charity. 12. Although Blaze provides its employees with a retirement plan (Sara contributed $21,588 to her traditional 401(k); already excluded from her salary listed above), Sara wants to contribute $5,800 to an IRA for 2020. (Recall [RA contributions can be made up to the date of the ling of the return, but not after April 15). Determine what type(s) of IRA Sara should contribute to (assume she wants to minimize her 2020 tax liability) and, if necessary, report this appropriately on the tax forms. If there is no place to report the IRA(s) that Sara selected on the tax forms, be sure to clearly state the selection in your supporting workfcalculation sheets that you submit with the return. 13. Sara wants any overpayment of taxes refunded to her by check (not direct deposit). If Sara has an underpayment, you do not need to compute any penalty. 14. Sara also provided you with a shoebox full of receipts for the following amounts paid or received in the current tax year: - Utilities at her house ($5 501month) - Gift from her generous aunt ($1,500) - Legal bills related to a property line dispute with her neighbor ($8,250) - A winning lottery ticket from Powerball ($3 60) (she paid $2 for the ticket) - A plane ticket for a vacation she took to England (before COVID) ($700) - She underpaid her state taxes for 2019 and was required to pay an additional $180 in state income tax when she filed her 2019 return in 2020. She did not owe any penalties or interest on this underpayment