Question
Rodney owns 4 businesses and wants you to help with his tax return. Based on the following information, explain how you would add these activities
Rodney owns 4 businesses and wants you to help with his tax return. Based on the following information, explain how you would add these activities to his 1040 form and list the forms needed along with what would be included on each form. What tax planning advice to you have for Rodney for next year?
Activity A - A sports bar and grill in Birmingham, AL. Taxable income from this operation is $43,000. Rodney runs the bar 10 days a year while the manager is on vacation.
Activity B - A men's clothing store in Tuscaloosa, AL. The clothing store has a net loss of $29,000 for the year. Rodney worked there 5 days during the year Activity
C- An office building in Atlanta, GA. Rodney is the building manager and has an office on the first floor. He has 28 tenants in the building and has a taxable income from this operation of $540,000., Activity D - A golf course in Macon, GA. Rodney stops by and offers advice about 30 weekends a month and then plays a round of golf. The golf course has taxable income of $230,000 per year.
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