Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Tax Return Problem 3 Kathy and Rob Alvarez obtained a divorce effective May 1. 2018, and there have been no revisions to the original agreement

image text in transcribed
Tax Return Problem 3 Kathy and Rob Alvarez obtained a divorce effective May 1. 2018, and there have been no revisions to the original agreement since that time. In accordance with the divorce decree, Kathy was required to pay $2.450 per month until their only child turns 18 ; then the paymennts would be reduced to $1,500 per month. Rob has full custody of the child and appropriately takes the child credit. Furthermore, Kathy was to transfer title of their house, which had a cost of $250,000 and a fair value of $410,000 on the date of transfer, to Rob and was to continue making the monthly mortgage payments of $1.525 on behalf of Kathy works for a large oil distributor in Santa Fe, NM, and after the divorce lives at 1132 Northgate Avenue, Santa Fe, NM 87501. Kathy's social security number is 412-34-5671 (date of birth 11/4/1987). and Rob's social security number is 412345670 (date of birth 8/14/1985 ). Her W-2 contained the following information: Wages(box1)FederalW/H(box2)Socialsecuritywages(box3)3)SocialsecurityW/H(box4)4)Medicarewages(box5)MedicareW/H(box6)=$85,100.25=$4,861.75=$85,100.25=$5,276.22=$85,100.25=$1,233.95 She also received a Form 1099-INT from First New Mexico Bank with $256 of interest income in box 1. In addition, Kathy made a timely $2.500 contribution to her new HSA account. Prepare a 2021 Form 1040 and a Schedule 1 as well as a Form 8889 for Kathy

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

International Public Financial Management Essentials Of Public Sector Accounting

Authors: Gary Bandy

1st Edition

081535634X, 978-0815356349

More Books

Students also viewed these Accounting questions

Question

9.7 List and briefly discuss four management development methods.

Answered: 1 week ago