Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Saved 0 Required information [The following information applies to the questions displayed below,] Reba Dixon is a fifth-grade school teacher who earned a salary of

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Saved 0 Required information [The following information applies to the questions displayed below,] Reba Dixon is a fifth-grade school teacher who earned a salary of $38,500 in 2018. She is 45 years old and has been divorced for four years. She receives $1,275 of alimony payments each month from her former husband (divorced in 2016). Reba also rents out a small apartment building. This year Reba received $50,200 of rental payments from tenants and she incurred $19,578 of expenses associated with the rental. Reba and her daughter Heather (20 years old at the end of the year) moved to Georgia in January of this year. Reba provides more than one-half of Heather's support. They had been living in Colorado for the past 15 years, but ever since her divorce, Reba has been wanting to move back to Georgia to be closer to her family. Luckily, last December, a teaching position opened up and Reba and Heather decided to make the move. Reba paid a moving company $2,160 to move their personal belongings, and she and Heather spent two days driving the 1,456 miles to Georgia Reba rented a home in Georgia. Heather decided to continue living at home with her mom, but she started attending school full-time in January at a nearby unlversity. She was awarded a $3,150 partial tuition scholarship this year, and Reba helped out by paying the remaining $500 tuition cost. If possible, Reba thought it would be best to claim the education credit for these expenses Reba wasn't sure if she would have enough items to help her benefit from itemizing on her tax return. However, she kept track of several expenses this year that she thought might qualify if she was able to itemize. Reba paid $5,950 in state income taxes and $12,650 in charitable contributions during the year. She also pald the following medical-related expenses for herself and Heather Insurance premtuns Medical care expenses Prescription medicine ionprescription medicine New contact lenses for Heather S, 945 51,250 500 250 $ 350 Shortly after the move. Reba got distracted while driving and she ran into a street sign. The accident caused $1.050 in ev 1 of 1 Shortly after the move, Reba got distracted while driving and she ran into a street sign. The accident caused $1050 in damage to the car and gave her whiplash. Because the repairs were less than her insurance deductible, she paid the entire cost of the repairs. Reba wasn't able to work for two months after the accident Fortunately, she received $2.150 from her disability insurance. Her employer, the Central Georgia School District, paid 60% of the premiums on the policy as a nontaxable fringe benefit and Reba paid the remaining 40% portion. A few years ago. Reba acquired several investments with her portion of the divorce settlement This year she reported the following income from her investments: $2,350 of interest income from corporate bonds and $1,650 interest income from the City of Denver municipal bonds Overall. Reba's stock portfolio appreciated by $12150 but she did not sell any of her stocks Heather reported $6.500 of interest income from corporate bonds she received as gifts from her father over the last several years. This was Heather's only source of income for the year Reba had $10,000 of federal income taxes withheld by her employer Heather made $1000 of estimated tax payments during the year. Reba did not make any estimated payments. Reba had qualifying insurance for purposes of the Affordable Care Act (ACA) o. Determine Reba's federal income tax refund or taxes payable for the current year aTax Rats Schedute trox.retference. (Round your intermediate computations and final answers to the nearest whole doller amount. Leave no answer blank. Enter zero if applicable.) Description Gross Income Salary Alimony received Rental receipts Disability insurance payments Interest income from corporate bonds nterest income from municipal bonds Required information Description Amount Gross Income: Salary Alimony received Rental receipts Disability insurance payments Interest income from corporate bonds Interest income from municipal bonds (1) Gross income Deductions for AGI: Expenses for rental property (2) Total for AGI deductions (3) AGI From AGI deductions Medical expenses State income taxes Charitable contributions (4) Total itemized deductions (5) Standard deduction (7) Taxable income (8) Tax on taxable income (9) Credits (10) Tax prepayments Prev 2018 Tax Rate Schedules

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Art Of Safety Auditing A Tutorial For Regulators

Authors: Sasho Andonov

1st Edition

0367351080, 978-0367351083

More Books

Students also viewed these Accounting questions

Question

What function does a codec perform?

Answered: 1 week ago

Question

Substantive testing is never used. a. True b. False

Answered: 1 week ago

Question

What advice would you provide to Jennifer?

Answered: 1 week ago

Question

What are the issues of concern for each of the affected parties?

Answered: 1 week ago