Prepare a 2016 Form 1040 for the individual below. Also prepare Schedules B. If you need more information to fill out a form, just make it up and make a note to ask the client later. PERSONAL INFORMATION & WAGES

Lala Chambers, a divorced single taxpayer and practicing attorney, lives at 9551 Oak Leaf Lane in Pine Cove, AZ 86035. Her social security number is 412-34-5670 (date of birth 2/27/1972).

Her W-2 contained the following information:

Wages (box 1) = $83,401.55

Federal W/H (box 2) = $ 9,782.15

Social security wages (box 3) = $83,401.55

Social security W/H (box 4) = $ 5,170.90

Medicare wages (box 5) = $83,401.55

Medicare W/H (box 6) = $ 1,209.32

In addition, Lala made alimony payments totaling $9,600 for the year to her former husband Alex, an unemployed mine worker, whose social security number is 412-34-5671. He found an old girlfriend on Facebook from high school; that is why they got divorced.

She made estimated tax payments this year of $10,000 each quarter of 2016.

INTEREST AND DIVIDEND INCOME

Hint: Interest and dividends go on Schedule B. She also received a 1099 INT reporting interest income from Pine Cove Credit Union in the amount of $204.75. She also has interest from a savings account with Local Neighborhood Bank of $250 and a dividend from a Form 1099-DIV of $1,600 in ordinary dividends, of which $1,350 are considered qualified dividends.

STOCK SALES

Hint: Use Form 8949 and Schedule D. She had the following stock transactions for the year:

Stock Shares	Date Purchased	Date Sold	Sale Price	Cost Basis
5,500	7/8/15	9/12/16	$25,000	$18,000
800	3/12/16	10/21/16	43,000	47,000
2,800	2/13/09	10/21/16	30,000	22,000

She also owns 20 shares of Apple stock, which she purchased for $1,000 in 1979. It is now trading at $100,000. She is going to hold onto it for a while.

SCHEDULE B

1040 (99) Department of the Treasury-Internal Revenue Service U.S. Individual Income Tax Return 2016 OMB No. 1545-0074 IRS Use Only- Do not write or staple in this space. For the year Jan. 1-Dec. 31,2016, or other tax year beginning Your first name and initial See separate instructions Your social security number 2016, ending 20 Last name If a joint return, spouse's first name and initial Home address (number and street). If you have a P.O. box, see instructions. City, town or post office, state, and ZIP code. If you have a foreign address, also complete spaces below (see instructions). Last name Spouse's social security number no Make sure the SSN(s) above and on line 6c are correct. Presidential Election Campaign Check here if you, or your spouse if filing jointly, want $3 to go to this fund. Checking Foreign country name Foreign postal code |a box below will not change your tax or Foreign province/state/county YouSpouse refund. Single 2 Married filing jointly (even if only one had income) 4 Head of household (with qualifying person). (See instructions.) If Filing Status the qualifying person is a child but not your dependent, enter this child's name here. Check only one 3 Married filing separately. Enter spouse's SSN above box and full name here. 5 Qualifying widow(er) with dependent child