Professor Patricia (Patty) Pt is retired from the Palm Springs Culinary Arts Academy (PSCAA). She is a single taxpayer and is 68 years old. Patty lives at 98 Colander Street, Henderson, NV 89052. Professor Pt's Social Security number is 565-66-9378. Patty receives monthly retirement benefits from her PSCAA retirement plan. Earnings and income tax withholding shown on her retirement 2017 Form 1099-R are:

Gross distribution and taxable amount: $62,100

Federal tax withheld: 7,350

State tax withheld: 0

Patricia owns a rental condo located at 392 Spatula Way, Mount Charleston, NV 89124. The condo rents for $850 per month and was rented for the entire year. The following are the related expenses for the rental house:

Real estate taxes: $3,835

Mortgage interest: 8,613

Insurance: 561

Depreciation (assume fully depreciated): 0

Homeowners'Association dues: 1,260

Repairs: 1,195

Gardening: 560

The condo was purchased on August 31, 1979. Professor Pt handles all rental activities (e.g., rent collection, finding tenants, etc.) herself.

During March 2017, Patricia took an $82,000 distribution from her 401(k) plan. Patricia received only $65,600 because the 401(k) plan administrators withheld $16,400 federal income tax from the distribution. Forty-five days after the distribution, Patricia deposited $58,000 in a rollover IRA, keeping $7,600 of the $65,600 received in order to remodel her kitchen.

Required:

Use Form 1040, Schedule E, and Form 8582 on the IRS site to do this tax return. Make realistic assumptions about any missing data.