Question
Required information Skip to question [The following information applies to the questions displayed below.] Shauna Coleman is single. She is employed as an architectural designer
Required informationSkip to question
[The following information applies to the questions displayed below.]
Shauna Coleman is single. She is employed as an architectural designer for Streamline Design (SD). Shauna wanted to determine her taxable income for this year. She correctly calculated her AGI. However, she wasn't sure how to compute the rest of her taxable income. She provided the following information with hopes that you could use it to determine her taxable income for 2023.
- Shauna paid $4,712 for medical expenses for care froma broken ankle in October. Also, Shauna's boyfriend, Blake, drove Shauna (in her car) a total of 115 miles to the doctor's office so she could receive care for her broken ankle.
- Shauna paid a total of $3,480 in health insurance premiums during the year (not through an exchange). SD did not reimburse any of this expense. Besides the health insurance premiums and the medical expenses for her broken ankle, Shauna had Lasik eye surgery last year and paid $3,080 for the surgery (she received no insurance reimbursement). She also incurred $482 of other medical expenses for the year.
- SD withheld $1,880 of state income tax, $7,575 of Social Security tax, and $14,820 of federal income tax from Shauna's paychecks throughout the year.
- In 2023, Shauna was due a refund of $282 for overpaying her 2022 state taxes. On her 2022 state tax return that she filed in April 2023, she applied the overpayment toward her 2023 state tax liability. She estimated that her state tax liability for 2023 will be $2,380.
- Shauna paid $3,280 of property taxes on her personal residence. She also paid $532 to the developer of her subdivision because he had to replace the sidewalk in certain areas of the subdivision.
- Shauna paid a $232 property tax based on the state's estimate of the value of her car.
- Shauna has a home mortgage loan in the amount of $236,000 that she secured when she purchased her home. The home is worth about $416,000. Shauna paid interest of $12,620 on the loan this year.
- Shauna made several charitable contributions throughout the year. She contributed stock in ZYX Corporation to the Red Cross. On the date of the contribution, the fair market value of the donated shares was $1,320 and her basis in the shares was $528. Shauna originally bought the ZYX Corporation stock in 2009. Shauna also contributed $332 cash to State University and religious artifacts she has held for several years to her church. The artifacts were valued at $532 and Shauna's basis in the items was $332. Shauna had every reason to believe the church would keep them on display indefinitely. Shauna also drove 200 miles doing church-related errands for her minister. Finally, Shauna contributed $1,280 of services to her church last year.
- Shauna paid $282 in investment advisory fees and another $182 to have her tax return prepared (that is, she paid $182 in 2023 to have her 2022 tax return prepared).
- Shauna is involved in horse racing as a hobby. During the year, she won $2,580 in prize money and incurred $13,200 in expenses. She has never had a profitable year with her horse-racing activities, so she acknowledges that this is a hobby for federal income tax purposes.
- Shauna sustained $2,080 in gambling losses over the year (mostly horse-racing bets) and had only $232 in winnings.
b-2. Complete page 1 of Form 1040 (through taxable income, line 15) and Schedule A assuming her AGI is $223,000.
(Input all the values as positive numbers. Enter any non-financial information, (e.g. Names, Addresses, social security numbers) EXACTLY as they appear in any given information or Problem Statement. Use 2023 tax rules regardless of year on form.) Shauna does not wish to contribute to the Presidential Election Campaign fund or did not have any virtual currency transactions or interests.
Shauna's address is 19010 N.W. 135th Street, Miami, FL 33054.
\f5 instructions =Atlach Sch. 3 if 5 required Standard Deduction for E - Single or E Married filing separately, 5 $12,950 5 - Married ling Elointly or E Qualifying E survwing spouse. $25,900 5 - Head of 5 household 5 $19,400 5 - If you checked E any box under Standard 5 Deduction, 5 see instructions. Required information | Nontaxable combat pay election (see IHSITUCIIOHS) 2 Add lines 1a through 1h 2a Taxeexernpt interest 2a 1 l 3a Qualified dividends 3a 4a IRA distributions 4a 5a Pensions and annuities 5a 6a SOCiaI security benefits 6a c If you elect to use the lumpsum election method. check here (see instructions) 7 Capital gain or (loss), Attach Schedule D if required, If not required' Check here 8 Other income from Schedule 1, line 10 QAddlines12'2b,3bl4b'5b.6b' 7. and 8, This is your total income 10 Adjustments to income from Schedule 1. line 26 11 Subtract line 10 from line 9, This is your adjusted gross income 12 Standard deduction or itemized deductions (from Schedule A) 13 Qualified business income deduction from Form 8995 or Form SQQSA 14Add lines 12 and 13 b Taxable interest b Ordinary diVidends b Taxable amount b Taxable amount b Taxable amount III >|:| 12 2b 3b 4b 5b 6b 1O 11 12 13 14Step by Step Solution
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