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Questions: 1. What is the net Form W-2 wages? 2. What is miscellaneous income? 3. What is Schedule B income (Interest and dividends)? 4 What is Schedule C net income (Business income)? 5. What is Schedule D net income (Capital gains and losses)? Whetic Schodule C danramintiin. 6. Paul received free parking in the company's security garage that would normally cost $200 per month. 7. Paul manages the safety program for ASCI. In recognition of his superior handling of three potential crises during the year, Paul was awarded the Employee Safety Award on December 15. The cash award was $800. 8. On January 15, of the current year, Paul's father died. From his father's estate, he received stock valued at $30,000 (father's basis was $12,000) and his father's house valued at $105,000 (father's basis in the house was $55,000). 9. Paul owns several other investments and received the following information reports for the current tax year: Form 1009-Div: General Dynamics - Gross qualified dividends - S600 Form 1099-Int New Jersey Economic Development bonds - Gross interest - $300 IBM bonds - Gross interest - $600 State of Nebraska bonds - Gross Interest - $200 10. In addition to the investments discussed above, Paul owns 1,000 shares (1%) of Grubstake Mining & Development common stock. Grubstake is organized as an S corporation and has 100,000 shares outstanding. Grubstake reported taxable income of $200,000 and paid a distribution of $1.00 per share during the current year. Paul does not materially participate in Grubstake's activities. B DIE 0 0 25 99 Federal income tax refund 21 114 State income tax refund Miscellaneous Income Schedule B 24 19 General Dynamics gross qualifed dividends New Jersey Development bonds 26 99 IBM bonds 27 19 State of Nebraska bonds Net Schedule B 29 122 Schedule C 30 111 Schedule D 31 115, 10 Schedule E-Total 32 33 Deductions for AGI 34 11 Alimony deduction One-half SE tax deduction Total Deductions for AGI 3 0 If a gain, enter as a positive. If a loss, enter as a negative. 09 ADJUSTED GROSS INCOME: Deductions from AGI: Medical ADJUSTED GROSS INCOME: oo 42 118 43 118 44 118 45 18 46 118 47 118 48 118 49 118 Deductions from AGI: Medical Dentist Doctor Prescription drugs Over-the-counter drugs Optometrist Emergency room services LASIK eye surgery Chiropractor Subtotal Less: AGI limitation Net Medical deduction Taxes State income taxes withheld from wages State income taxes paid as estimated taxes Real estate taxes on primary residence Ad valorem taxes on their cars Car registration fees Taxes Sheet1 Sheet2 Sheet3 oooooooooooooooo 50 Enter as a positive 54 12 55 913 56 116 57 117 58 1 17 0 10 Questions: 1. What is the net Form W-2 wages? 2. What is miscellaneous income? 3. What is Schedule B income (Interest and dividends)? 4 What is Schedule C net income (Business income)? 5. What is Schedule D net income (Capital gains and losses)? Whetic Schodule C danramintiin. 6. Paul received free parking in the company's security garage that would normally cost $200 per month. 7. Paul manages the safety program for ASCI. In recognition of his superior handling of three potential crises during the year, Paul was awarded the Employee Safety Award on December 15. The cash award was $800. 8. On January 15, of the current year, Paul's father died. From his father's estate, he received stock valued at $30,000 (father's basis was $12,000) and his father's house valued at $105,000 (father's basis in the house was $55,000). 9. Paul owns several other investments and received the following information reports for the current tax year: Form 1009-Div: General Dynamics - Gross qualified dividends - S600 Form 1099-Int New Jersey Economic Development bonds - Gross interest - $300 IBM bonds - Gross interest - $600 State of Nebraska bonds - Gross Interest - $200 10. In addition to the investments discussed above, Paul owns 1,000 shares (1%) of Grubstake Mining & Development common stock. Grubstake is organized as an S corporation and has 100,000 shares outstanding. Grubstake reported taxable income of $200,000 and paid a distribution of $1.00 per share during the current year. Paul does not materially participate in Grubstake's activities. B DIE 0 0 25 99 Federal income tax refund 21 114 State income tax refund Miscellaneous Income Schedule B 24 19 General Dynamics gross qualifed dividends New Jersey Development bonds 26 99 IBM bonds 27 19 State of Nebraska bonds Net Schedule B 29 122 Schedule C 30 111 Schedule D 31 115, 10 Schedule E-Total 32 33 Deductions for AGI 34 11 Alimony deduction One-half SE tax deduction Total Deductions for AGI 3 0 If a gain, enter as a positive. If a loss, enter as a negative. 09 ADJUSTED GROSS INCOME: Deductions from AGI: Medical ADJUSTED GROSS INCOME: oo 42 118 43 118 44 118 45 18 46 118 47 118 48 118 49 118 Deductions from AGI: Medical Dentist Doctor Prescription drugs Over-the-counter drugs Optometrist Emergency room services LASIK eye surgery Chiropractor Subtotal Less: AGI limitation Net Medical deduction Taxes State income taxes withheld from wages State income taxes paid as estimated taxes Real estate taxes on primary residence Ad valorem taxes on their cars Car registration fees Taxes Sheet1 Sheet2 Sheet3 oooooooooooooooo 50 Enter as a positive 54 12 55 913 56 116 57 117 58 1 17 0 10