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Required: Use the following information to complete Rhonda Hills federal income tax return. If any information is missing, use reasonable assumption to fill in the

Required: Use the following information to complete Rhonda Hills federal income tax return. If any information is missing, use reasonable assumption to fill in the gaps. Prepare this return for the year ending December 31, 2021 You may use any tax software program to complete the return, or you can do them manually by downloading fillable forms from the IRS website (www.irs.gov). The forms, schedules, and instructions can be found at the IRS website (www.irs.gov). The instructions can be helpful in completing the forms. Facts: 1. Rhonda Hill (unmarried) is employed as an office manager at the main office of Carter & Associates CPA firm. Rhonda lives in a home she purchased 20 years ago. Rhondas older cousin Mabel Wright lives with Rhonda in her home. Mabel is retired and receives $2,400 of Social Security payments each year. Mabel is able to save this money because Rhonda provides all of Mabels support. Rhonda also provided the following information.

Rhonda does not want to contribute to the presidential election campaign.

Rhonda lives at 1234 Blue Ridge Way, Tulsa, OK 74101

Rhondas birthday is 12/18/1955 and her SS # is 335-67-8910

Mabels birthday is 11/2/1946 and her SS # is 566-77-8899

Rhonda does not have any foreign bank accounts or trusts

Rhonda did not acquire, sell, or exchange virtual currency in 2021.

2. Rhonda received a Form W-2 from Carter & Associates that contained the following information:

Line 1, 3, 5, and 16 Wages $72,000

Line 2 Federal Income Tax withheld 7,800

Line 4 Social Security Tax withheld 4,464

Line 6 Medicare Tax withheld 1,044

Line 17 State Income Tax withheld 2,700

Carter & Associates address is: 1234 CPA Way, Tulsa, OK 74101

Carter & Associates FEIN is 91-0001002

Carter & Associates State ID # is: 124352667

3. Rhonda received $250 in interest from Tulsa City bonds; $120 interest from IBM bonds; and $15 from her savings account at UCU Credit Union. She received a $460 dividend from Huggies Company and $500 from Bicker Corporation. Both dividends are also qualified dividends. 4. Rhonda sold 200 shares of DM stock for $18 per share on June 15, 2021. She purchased the stock on December 12, 2013, for $10 per share. She also sold 50 shares of RSA stock for $15 per share on October 2, 2021. She purchased this stock for $65 per share on February 2, 2021. All stock basis amounts have been reported to the IRS. 5. The following is a record of medical expenses that Rhonda paid for herself during the year. The amounts reported are all amounts in excess of any insurance reimbursements. Rhonda drove 210 miles for medical purposes in 2021.

Insurance premiums $3,700

Prescription medications 100

Over-the-counter medication 250

Doctor and dentist visits 1,450

Eyeglasses 300

Physical therapy 200

6. Rhonda paid $6,800 in mortgage interest during the year to UCU Credit Union (reported to her on Form 1098). She also paid $1,240 in real property taxes during the year. 7. Rhonda contributed $5,400 to Heavenly Church during the year. The address for the church is: 1342 Straight Way, Tulsa, OK 74101

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