Robert Howers (SSN:111-11-1111, Date of birth 02/05/1981) recently became a single Dad when his wife left him and their child and a divorce settlement was finalized on 3/2/2019. He and his 12 year old daughter, Aisha (SSN 222-22-2222, date of birth 5/2), live in the marital home with Robert's 72 year old mother. His father died 10 years ago leaving his mother, Beulah (SSN: 333- 33-3333 date of Birth 8/16), destitute with only his social security benefits to live on. Beulah receives $9,000 of Social security income annually. Robert provides 85% of his mother's support annually. Robert received the following in 2021: $114,500 W-2 salary with $13250 withheld for federal income tax. Interest income from a Bank of America savings account $78. Alimony from his former spouse $11,000. Child Support Received $12000. Robert's employer provides the family with a high deductible PPO medical insurance policy. Robert funded his family health saving account $5000 in 2021. Robert's great Uncle (bachelor) on his father's side, is recently deceased (10/12/38- dob) and left Robert 1000 shares of Boeing (BA) and 3,000 shares of Delta (DAL) airlines stock. Great Uncle Albert was a retired mechanic from the Vietnam War and then for Delta Airlines, Alberts date of death was 10/12/18 and the FMV of BA was $365 a share and DAL was $53. A share. Albert purchased both stocks in 1980 for $10 a share. Robert sold both BA and DAL on 3/20/2021 for $95 a share and $21. Robert has a weekend sole proprietorship business where he owns and operates heavy earth moving equipment for the local land fill. He has been operating this business at a profit for a few years but has decided he needs to sell the equipment and spend more time with his daughter. The current years Revenue totaled $40,000, with the following expenses: $12000 fuel, $2,000 insurance, equipment maintenance $5000 licenses $1000. He bought the equipment used 5 years ago for $100,000 and originally took no bonus depreciation. The accumulated MACRS (7 years) depreciation taken at the end of last year (year 4) was $68760. He sold the equipment on 6/1 of last year for $16500 and paid a commission of $1650 for the sale to be brokered. Robert has the following additional items to consider: Address: 13 Apple street, Saint Petersburg, Fl 33702 No cryptocurrency or foreign accounts and transaction exist. Dividends from BA $2060 and DAL $1200 in 2021 Political campaign contribution $100, Clothes to salvation Army, thrift store value $300, Cash donations to Qualihed schools and places of Worship $8150. Tax preparation fee paid to H&R Block in 2021 for the 2020 return was $580.00. The mortgage interest on his home was $8950 and real estate taxes $735. The out of pocket medical expenses for his mother totaled $9185. His total tax in 2020 was: $11532, Robert had over withheld for 2020 but left an overpayment in of $1750 anticipating his stock sales in 2021. He expects more income next year than he had this year. You may ignore the recovery rebate credit, as if it does not exist since it does not in 34 of 38 years of tax seasons. Part 1 Project 2 Assignment Due 4/9/22: After you complete Chapter 8, you will be able to complete most of this project, some items will require Chapter 14 and 5. For 2021 manually complete forms: 1040, Schedule 1, 2, Sch A, B, C, D, SE, 4562, 4797, 8949, 8889, 8867, Qualified Dividends and Capital Gain Tax Worksheet, State & Local sales tax deduction worksheet - line 5a and form 8812 worksheet for 1040 line 19. Please prepare one PDF of all the forms required. YOU WILL NEED THE IRS INSTRUCTIONS ( as instructed on first project and stated they will be used again on second project) FOR THE FORMS AND WORKSHEETS ASSIGNED. I WILL NOT ASSIST YOU IF YOU FAIL TO READ AND FOLLOW THESE INSTRUCTION, I PROVIDED. THEY ARE COMLETE AND THOROUGH. Omit the instructions and turn in under Assignments ( all forms and worksheets listed) on Canvas before the due date. You are encouraged to work together. You will find the forms and instructions needed on www.irs.gov (Links to an external site.) e. If link does not work, type it into your browser. Round numbers to nearest dollar typed or written projects both are fine. Help line open until 48 hours prior to due date and time. Please send scanned work via a real email address and NOT canvas messaging or fax to 7273671221. Canvas messaging is not reliable particularly with attachments. Hint AGI $ 112350. Robert Howers (SSN:111-11-1111, Date of birth 02/05/1981) recently became a single Dad when his wife left him and their child and a divorce settlement was finalized on 3/2/2019. He and his 12 year old daughter, Aisha (SSN 222-22-2222, date of birth 5/2), live in the marital home with Robert's 72 year old mother. His father died 10 years ago leaving his mother, Beulah (SSN: 333- 33-3333 date of Birth 8/16), destitute with only his social security benefits to live on. Beulah receives $9,000 of Social security income annually. Robert provides 85% of his mother's support annually. Robert received the following in 2021: $114,500 W-2 salary with $13250 withheld for federal income tax. Interest income from a Bank of America savings account $78. Alimony from his former spouse $11,000. Child Support Received $12000. Robert's employer provides the family with a high deductible PPO medical insurance policy. Robert funded his family health saving account $5000 in 2021. Robert's great Uncle (bachelor) on his father's side, is recently deceased (10/12/38- dob) and left Robert 1000 shares of Boeing (BA) and 3,000 shares of Delta (DAL) airlines stock. Great Uncle Albert was a retired mechanic from the Vietnam War and then for Delta Airlines, Alberts date of death was 10/12/18 and the FMV of BA was $365 a share and DAL was $53. A share. Albert purchased both stocks in 1980 for $10 a share. Robert sold both BA and DAL on 3/20/2021 for $95 a share and $21. Robert has a weekend sole proprietorship business where he owns and operates heavy earth moving equipment for the local land fill. He has been operating this business at a profit for a few years but has decided he needs to sell the equipment and spend more time with his daughter. The current years Revenue totaled $40,000, with the following expenses: $12000 fuel, $2,000 insurance, equipment maintenance $5000 licenses $1000. He bought the equipment used 5 years ago for $100,000 and originally took no bonus depreciation. The accumulated MACRS (7 years) depreciation taken at the end of last year (year 4) was $68760. He sold the equipment on 6/1 of last year for $16500 and paid a commission of $1650 for the sale to be brokered. Robert has the following additional items to consider: Address: 13 Apple street, Saint Petersburg, Fl 33702 No cryptocurrency or foreign accounts and transaction exist. Dividends from BA $2060 and DAL $1200 in 2021 Political campaign contribution $100, Clothes to salvation Army, thrift store value $300, Cash donations to Qualihed schools and places of Worship $8150. Tax preparation fee paid to H&R Block in 2021 for the 2020 return was $580.00. The mortgage interest on his home was $8950 and real estate taxes $735. The out of pocket medical expenses for his mother totaled $9185. His total tax in 2020 was: $11532, Robert had over withheld for 2020 but left an overpayment in of $1750 anticipating his stock sales in 2021. He expects more income next year than he had this year. You may ignore the recovery rebate credit, as if it does not exist since it does not in 34 of 38 years of tax seasons. Part 1 Project 2 Assignment Due 4/9/22: After you complete Chapter 8, you will be able to complete most of this project, some items will require Chapter 14 and 5. For 2021 manually complete forms: 1040, Schedule 1, 2, Sch A, B, C, D, SE, 4562, 4797, 8949, 8889, 8867, Qualified Dividends and Capital Gain Tax Worksheet, State & Local sales tax deduction worksheet - line 5a and form 8812 worksheet for 1040 line 19. Please prepare one PDF of all the forms required. YOU WILL NEED THE IRS INSTRUCTIONS ( as instructed on first project and stated they will be used again on second project) FOR THE FORMS AND WORKSHEETS ASSIGNED. I WILL NOT ASSIST YOU IF YOU FAIL TO READ AND FOLLOW THESE INSTRUCTION, I PROVIDED. THEY ARE COMLETE AND THOROUGH. Omit the instructions and turn in under Assignments ( all forms and worksheets listed) on Canvas before the due date. You are encouraged to work together. You will find the forms and instructions needed on www.irs.gov (Links to an external site.) e. If link does not work, type it into your browser. Round numbers to nearest dollar typed or written projects both are fine. Help line open until 48 hours prior to due date and time. Please send scanned work via a real email address and NOT canvas messaging or fax to 7273671221. Canvas messaging is not reliable particularly with attachments. Hint AGI $ 112350