prepare the Baker's 2018 Individual Income Tax Return. Must include form 1040 and all supporting schedules and forms

James Baker has hired you to prepare his 2018 U.S. Individual Income Tax Return. He has 2 children, George and Reagan who are 6 and 10 years of age respectively. James wife Liz passed away on December 31, 2018. Mr. Baker has provided you with the following information to be used in preparing the Baker's 2018 U.S. Income Tax Return James reported the following information: James's social security number is 294-83-2845 Liz's social security number is 294-38 4528 George's social security number is 824-84-8456 Reagan's social security number is 824-48-6584 In order for James to maintain a full-time job, he sends George and Reagan to a day care program after school 5 days a week. During the year, James paid the day care operator $6,500 for Georges and Reagan's care. 3,000 George 3,500 Reagan The day care details are as follows: Happy Day Care Solutions 123 Red State Road Auburn, AL 36830 EIN-43-6598324 Salaries: Liz Baker James Baker 20,000 60,000 Interest Income Exit Bank Compass Bank 1,500 1,000 Dividend Income Exxon Corporation Ford Motor Company 1,800 1,200 - Ordinary s Qualit The Dividends are ordinary and qualified. James, who is a CPA for Cook and Cranford CPAs, is also pursuing a Law degree from the University of Georgia via distance learning. Total tuition paid during 2018 was $12,100. Books cost $2,000.00 On July 1, 2018 James started his own business - JB Bait and Tackle. The business is a sole proprietorship. The income and expenses for 2018 are as follows: Gross Sales Wages, Salaries, and Benefits(Employees) Returns and allowances Advertising Rent expense Legal Fees Purchases Inventory 12-31-18 Taxes and Licenses Utilities Insurance Telephone 160,000 34,000 3,000 6,000 12,000 4,000 80,000 15,000 1,200 5,600 3,000 2,000 Mr. Baker has also provided you the following information: Medical Expenses (James) 6,000 (Liz) 18,000 (Children) 3,400 (Abbie the dog) 1,200 All of the above medical expenses are in excess of insurance reimbursements and were paid by James. State Income Taxes City of Auburn Tax Property taxes on Personal Residence Mortgage Interest on Personal Residence Contributions (cash and check) AU Foundation Lee County Humane Society 4,500 1,200 7,000 12,000 6,000 1,000 Federal Income taxes withheld from the Baker's Salaries totaled 9,000. James Baker has hired you to prepare his 2018 U.S. Individual Income Tax Return. He has 2 children, George and Reagan who are 6 and 10 years of age respectively. James wife Liz passed away on December 31, 2018. Mr. Baker has provided you with the following information to be used in preparing the Baker's 2018 U.S. Income Tax Return James reported the following information: James's social security number is 294-83-2845 Liz's social security number is 294-38 4528 George's social security number is 824-84-8456 Reagan's social security number is 824-48-6584 In order for James to maintain a full-time job, he sends George and Reagan to a day care program after school 5 days a week. During the year, James paid the day care operator $6,500 for Georges and Reagan's care. 3,000 George 3,500 Reagan The day care details are as follows: Happy Day Care Solutions 123 Red State Road Auburn, AL 36830 EIN-43-6598324 Salaries: Liz Baker James Baker 20,000 60,000 Interest Income Exit Bank Compass Bank 1,500 1,000 Dividend Income Exxon Corporation Ford Motor Company 1,800 1,200 - Ordinary s Qualit The Dividends are ordinary and qualified. James, who is a CPA for Cook and Cranford CPAs, is also pursuing a Law degree from the University of Georgia via distance learning. Total tuition paid during 2018 was $12,100. Books cost $2,000.00 On July 1, 2018 James started his own business - JB Bait and Tackle. The business is a sole proprietorship. The income and expenses for 2018 are as follows: Gross Sales Wages, Salaries, and Benefits(Employees) Returns and allowances Advertising Rent expense Legal Fees Purchases Inventory 12-31-18 Taxes and Licenses Utilities Insurance Telephone 160,000 34,000 3,000 6,000 12,000 4,000 80,000 15,000 1,200 5,600 3,000 2,000 Mr. Baker has also provided you the following information: Medical Expenses (James) 6,000 (Liz) 18,000 (Children) 3,400 (Abbie the dog) 1,200 All of the above medical expenses are in excess of insurance reimbursements and were paid by James. State Income Taxes City of Auburn Tax Property taxes on Personal Residence Mortgage Interest on Personal Residence Contributions (cash and check) AU Foundation Lee County Humane Society 4,500 1,200 7,000 12,000 6,000 1,000 Federal Income taxes withheld from the Baker's Salaries totaled 9,000