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Please use 2020 Tax form and current information, do Not copy the answer from an old question, Its totally different!! Matthew Flaws is a single

Please use 2020 Tax form and current information, do Not copy the answer from an old question, Its totally different!!

Matthew Flaws is a single taxpayer and lives at 5670 Sierra Drive, Honolulu, HI 96822. He has income from a job as a marketing representative, interest income, dividend income, and stock investments. Some of his investments are in a mutual fund. His social security number is 412-34-5670.

Page B-6

For the tax year 2020, Matthew had the following income information:

Wages $121,000
Social security tax withholding 7,502
Medicare tax withholding 1,755
Federal income tax withholding 17,450
State income tax withholding 3,700

Matthew had the following investment income:

Foundation Bank 1099-INT $ 1,763
Great Return Mutual Fund 1099-INT 500
Great Return Mutual Fund 1099-DIV 700 (ordinary dividends) ($0 qualified)
Great Return Mutual Fund 1099-DIV CGD 3,632 (capital gain distribution)

Matthew had the following investment sales:

  • A 1099-B from Great Return Mutual Fund for the sale of 100 shares of the fund. Matthew had purchased 50 shares on September 21, 2019, for $650; 50 shares on October 1, 2019, for $500; and 50 shares on November 30, 2019, for $800. He sold 100 shares on June 13, 2020, for $700. Matthew uses the average cost method to calculate the cost basis of his fund shares.

  • A 1099-B from XYZ Brokerage Company for $5,500 gross proceeds from the October 21, 2020, sale of 50 shares of Liquid Rhino Marketing. The shares were originally purchased on October 22, 2019, for $2,500.

  • A 1099-B from ABC Brokerage Company for $2,000 gross proceeds from the November 2, 2020, sale of 60 shares of Crestwood Company. Matthew originally inherited the shares from his grandfather on February 18, 2020. The shares had an FMV of $2,500 on his grandfathers date of death. His grandfather originally purchased the shares for $400 in 1992.

Other information:

  • Matthew had a capital loss carryover from 2019; $1,990 short-term.

Matthew had the following itemized deductions:

Medical insurance premiums $ 5,000
Real estate taxes 6,210
Home mortgage interest (Form 1098) 21,600
Cash charitable contributions 2,000
Tax preparation fee 200

Matthew does not want to contribute to the presidential election campaign and does not want anyone to be a third-party designee. Matthew had qualifying health care coverage at all times during the tax year.

Required:

Complete the 2020 tax return for Matthew Flaws. For any missing information, make reasonable assumptions.

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