Question
The following is information for Pat and Denise Watkins. Pat and Denise are married and have three children, Tim, Todd, and Tristan. They live at
The following is information for Pat and Denise Watkins. Pat and Denise are married and have three children, Tim, Todd, and Tristan. They live at 390 Swingline Road, Columbus, OH 43201. Pat is a lawyer working for a law firm and Denise works part-time as a teachers aide. The Watkins Social Security Numbers are as follows:
Name S.S. Number Age DOB
Pat 111-11-1111 42 5/1/1980
Denise 222-22-2222 32 7/1/1990
Tim 333-33-3333 10 6/12/2012
Todd 444-44-4444 3 8/5/2019
Tristan 555-55-5555 1 7/5/2021
Receipts
Pat's salary $92,000
Denises salary 30,000
Interest income on municipal bonds 1,600 I
nterest income on certificate of deposit (Buckeye Bank) 2,000
Qualified dividends on GE stock 1,200
Disbursements Contribution to traditional IRA $1,000
Doctor and hospital visits for Todd11,500
Orthodontic work for Tim 600
Withholding for state income tax 7,000
Withholding for federal income tax 17,000
Property taxes on home 3,900
Property taxes on automobile 200
Interest on home 10,200 Interest on credit cards
400 Cash contribution to church 3,000
Alimony paid to Pats first wife (SS# 112-22-2112) 6,000 (Divorce was 5/1/2011)
Compute Pat and Denises income tax liability for the current year using Form 1040, Form 1040 Schedule 1, and Schedules A and B. You may use the 2021 tax forms but use the 2022 tax rules.
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