Tim and Sarah Lawrence are married and file a joint return. Tims Social Security number is 123-45-6789, and Sarahs Social Security number is 111-11-1111. They reside at 100 Olive Lane, Covington, LA 70434. They have two dependent children, Sean and Debra, ages 12 and 16, respectively. Seans Social Security number is 123-45-6788, and Debras Social Security number is 123-45-6787. Tim is a self-employed businessperson (sole proprietor of an unincorporated business), and Sarah is a corporate executive. Tim has the following income and expenses from his business in 2021.

Gross income	$325,000
Business expenses	$201,000

Records related to Sarahs employment provide the following information.

Salary	$130,000
Unreimbursed travel expenses (including $200 of meals)	$1,600

Other pertinent information for the tax year includes the following.

Required:

Compute the Lawrences net Federal income tax payable or refund due for 2021.

Proceeds from sale of stock acquired on July 15, 2021 (cost $9,800 of $12,000 ), and sold on August 1, 2021 Proceeds from sale of stock acquired on September 18, 3,800 2020 (cost of \$5,000), and sold on October 5, 2021 Wages paid to full-time domestic worker for housekeeping 10,000 and child supervision Interest income received Total itemized deductions (not including any potential 27,900 deductions above) Federal income tax withheld Estimated Federal income tax payments 20,000 Proceeds from sale of stock acquired on July 15, 2021 (cost $9,800 of $12,000 ), and sold on August 1, 2021 Proceeds from sale of stock acquired on September 18, 3,800 2020 (cost of \$5,000), and sold on October 5, 2021 Wages paid to full-time domestic worker for housekeeping 10,000 and child supervision Interest income received Total itemized deductions (not including any potential 27,900 deductions above) Federal income tax withheld Estimated Federal income tax payments 20,000