Theodore E. Lariat is a single taxpayer born on September 22, 1974. He was appointed the new coach of the Nashville Country Stars soccer team in January 2022. His address, Social Security number and wages are reported on his Form W-2 (see separate tab). Theodore was previously the coach at a different soccer club in a different state. He sold his previous home for $528,000. His basis in the home was $400,000. Theodore purchased his previous home on January 5, 2021, and sold it on January 6, 2022. Obviously, he would not have sold the home if it were not for the new job. He is currently renting the home he lives in. Theodore was welcomed back to the Nashville area as he was formerly a star player on the Country Stars team. During his playing time he had purchased a modest home in Nashville but did not sell it, instead choosing to rent the home over the years. His rental home is located at 2300 Bransford Ave., Nashville, TN 37204 and was rented all year to his tenant. The tenant occupied the home on January 1, 2022, and pays rent of $1,500 per month for each month of 2022 (the lease is a two-year lease); however, Theodore required first and last months' rent and a security deposit of $500 and all were paid on January 1, 2022. Theodore's rental expenses for the year are: Mortgage interest Real estate taxes Insurance Depreciation (fully depreciated) Repairs Lawn and other maintenance $16,000 10,000 3,000 0 1,000 3,000 Now that Theodore is back in Nashville, he actively manages the rental home. He probably spends about ten hours per month on the rental. Theodore received a 1099-B from his broker (see separate tab). Required: Complete Theodore's federal tax return for 2022. Determine if Form 8949 and Schedule D are required. If so, use those forms and Form 1040, Form 1099-B Proceeds from Broker and Barter Exchange Transactions Box 3: Basis reported to IRS Box 2: Type of Gain or Loss: Short-term Box 6: Gross Proceeds Box 5: Not checked Quantity sold Box 1b Date acquired Box 1c Date sold or disposed Box 1 Security description (CUSIP) Jars Corp Hands Inc Box 6: Gross Proceeds Box 1 Security description (CUSIP) Box 1d Proceeds Box 1e Cost or other basis Box 1g Wash sale loss disallowed Gain/(Loss) amount 100 04/27/2022 12/15/2022 3,400 3,000 50 10/01/2021 04/28/2022 5,600 5,800 400 (200) Box 5: Not checked Quantity sold Box 1b Date Box 3: Basis reported to IRS Box 2: Type of Gain or Loss: Short-term Box 1c Date sold acquired or disposed Box 1d Proceeds Box 1e Cost or other basis Box 1g Wash sale loss disallowed Gain/(Loss) amount Mizer Corp 130 01/17/2011 08/21/2022 11,500 11,000 Moses Inc 50 03/25/2018 06/01/2022 1,000 5,200 Form 1099-INT Interest Income Box 1 Interest income Box 2 Early withdrawal penalty 138.29 500 (4,200) Box 3 interest on U.S Savings Bonds and Treasury obligations a Employee's social security number 775-89-9532 OMB No. 1545-0008 Safe, accurate, FAST! Use IRS e ~ file Visit the IRS website at www.irs.gov/efile b Employer identification number (EIN) 36-1389676 c Employer's name, address, and ZIP code Nashville Country Stars Soccer Club 501 Interstate Blvd S 10th Floor Nashville, TN 37210 1 Wages, tips, other compensation 124,800.00 3 Social security wages 130,000.00 5 Medicare wages and tips 130,000.00 7 Social security tips 2 Federal income tax withheld 20,000.00 4 Social security tax withheld 8,060.00 6 Medicare tax withheld 1,885.00 8 Allocated tips d Control number e Employee's first name and initial Last Suff. 11 Nonqualified plans name Theodore Lariat 140 Whitsett Road Nashville, TN 37210 13 Statutory Retirement employee plan e 10 Dependent care benefits 12a See instructions for box 12 Third-party sick pay 12b C DD 5,700.00 D 5,200.00 1a Total amount from Form(s) W-2, box 1 (see instructions). 1a 124,800 Income Attach Form(s) b Household employee wages not reported on Form(s) W-2.. 1b W-2 here. Also C Tip income not reported on line 1a (see instructions) .. 1c attach Forms d Medicaid waiver payments not reported on Form(s) W-2 (see instructions)..... 1d W-2G and 1099-R if tax e Taxable dependent care benefits from Form 2441, line 26 ... 1e was withheld. f Employer-provided adoption benefits from Form 8839, line 29 1f g Wages from Form 8919, line 6.... 1g If you did not get a Form h Other earned income (see instructions).. 1h W-2, see instructions. i Nontaxable combat pay election (see instructions) . . . . 1i Z Add lines 1a through 1h. 1z 124,800 Attach 2a Tax-exempt interest .. 2a b Taxable interest. 2b 0X Sch. B if required. 3a Qualified dividends... b Ordinary dividends . . . . . 3b 4a IRA distributions.. 4a b Taxable amount 4b 5a Pensions and annuities 5a b Taxable amount . . . 5b Standard 6a Social security benefits b Taxable amount. 6b