Trish Himple owns a retail family clothing store. Her store is located at 4321 Heather Drive, Henderson, NV 89002. Her employer identification number is 95-1234321 and her Social Security number is 123-45-6789. Trish keeps her books on an accrual basis. The income and expenses the year are: $340,000 14,000 Gross sales Returns and allowances Expenses: Beginning inventory (at cost) Add: purchases Cost of goods available for sale Less: ending inventory (at cost) $ 85,000 101,000 3186,000 71,000 Cost of goods sold $115,000 Rent Insurance Legal and accounting fees Payroll Payroll taxes Utilities 24,400 2,000 5,000 56,400 4,400 2,200 1 Office supplies Advertising 250 6,200 Trish's bookkeeper has provided the book basis fixed asset roll forward to be used in computing the depreciation (see separate tab) For tox purposes, Trish elected out of bonus depreciation in all years except 2020. She did not elect Immediate expensing in any year. The tax lives of Trish also has a qualified home office of 250 sq.ft. Her home is 2,000 54. t. Her 2015 purchase price and basis in the nome, not including tar $100,000 (the home's market value is $150,000). She incurred the following costs in 2020 related to the entire home: Utilities $3,000 Cleaning 1,000 1,100 Insurance Property taxes 2,000 Required: Complete Trish's Schedule C, Form 1929, and Form 4562 (as necessary). Make realistic assumptions about any missing data. Enter all amounts as positive numbers. If an amount box does not require an entry or the answer is zero, enter"0" If required round any dollar amount to the nearest dollar. Fixed Asset Rollforward 12/31/2020 (book basis) COST 2018 2019 2020 ACCUM DEPR IN SERVICE METHOD LIFE 12/15/2018 SL DEPR DEPR ASSET CASH REGISTER 2018 TOTAL ADDITIONS BASIS 9,900.00 9,900.00 DEPR 165.00 DEPR 1.900.00 1,900.00 4.125.00 165.00 1,980,00 1.980.00 4,125.00 SL 2 226.19 07857 904.76 RETAIL FIXTURES FURNITURE 2019 TOTAL ADDITIONS 9/12/2019 9/12/2019 SL 7 4,750.00 3,900.00 8,650.00 185.21 557.14 1,235.21 3,215.71 742.85 1.647.61 411.90 TOTAL 18,550.00 165.00 2,393.90 5,772.61 RETAIL FIXTURES 9/12/2019 SL 2 226.19 678.57 FURNITURE 9/12/2019 SL > 185.71 557.14 4,750.00 3,900.00 8,650.00 18,550.00 904.76 742.85 1,647.61 2019 TOTAL ADDITIONS 411.90 TOTAL 1,235.71 3,215.71 165.00 2,391.90 5,772.61 6/1/2020 SI 5 37,500.00 DELIVERY TRUCK DESK AND CABINETKY 4,375.00 991.67 4,375.00 991.67 0/1/2020 SL 7 COMPUTER 6/1/2020 SL 5 11.900.00 2,800.00 $2,200.00 326.67 326.62 2020 TOTAL ADDITIONS TOTAL 5,693.34 8,909.05 5,693 34 11,465.95 70,750.00 165.00 2,391.90 Schedule in Part lily (see instructions) 13 56,400 X 24 Travel and meals 24a a Travel 14 Employee benefit programs (other than on line 19) 14 b Deductible meals (see 245 15 15 Insurance (other than health) instructions) 2,000 25 2,200 25 Utilities 16 Interest (see instructions) 26 56,400 a Mortgage paid to banks, etc.) 160 27 26 Wages (ous employment credits) 27a Other expenses (from line 48) b Reserved for future use 16b b Other 27 17 Legal and professional services 17 5,000 28 157,750 X 28 Total expenses before expenses for business use of home. Add lines 8 through 270 29 53,250 X 29 Tentative profit or loss). Subtract line 28 from line 7 Form 8829 8 79,036 X any loss from the trade or business not derived from the business use of your home. See instructions See Instructions for columns (a) and (b) before (b) Indirect completing lines 9-22 (a) Direct expenses expenses 9 Casualty losses (see instructions) 9 10 Deductible mortgage Interest (sea instructions) 10 11 Real estate taxes (see instructions) 11 2,000 12 Add lines 9, 10, and 11 12 2,000 13 Multiply line 12, column (b), by line 7 13 250 14 250 14 Add line 12, column (o), and line 13 15 Subtract line 14 from line 8. If zero or less, enter 0 15 78,836 X Form 8829 23 23 Add lines 16 through 22 4,100 X 24 61,500 X 24 Multiply line 23, column (D), by line 7 25 Carryover of prior year operating expenses (see instructions) 25 26 750 X 26 Add line 23, column (a), line 24, and line 25 27 273 X 27 Allowable operating expenses. Enter the smaller of line 15 or line 26 28 Limit on excess casualty ones and depreciation. Subtractine 27 from line 15 28 78,356 x 29 Excess casualty tosus (See Instructions) 29 30 150,000 X 30 Depreciation of your home from line 42 below 31 31 Carryover of prior year excess casualty losses and depreciation (see instructions) 32 Add line 29through 32 0 x Form 8829 33 0 33 Allowable excess casualty losses and depreciation Enter the smaller of line 28 or line 32 34 0 X 35 0 X 34 Add lines 14, 27, and 33 35 Casualty loss portion, if any, from lines 14 and 33. Carry amount to form 4684. See instructions 36 Allowable expenses for business use of your home. Subtract line 35 from line 34. Enter here and on Schedule C, line 30. If your home was used for more than one business, see instructions Part III Depreciation of Your Home 37 Enter the smaller of your home's adjusted basis or its fair market value. See Instructions 36 37 100,000 38 38 Value of land included on line 37 39 100,000 39 Basis of building. Subtract line 38 from line 37 40 1,250,00 X 40 Business basis of building. Multiply line 39 by line 7. 39 Form 8829 39 Basis of building. Subtract line 38 from line 37 100,000 > 40 1,250,00 X 40 Business basis of building. Multiply line 39 by line 7 41 12.5 X 41 Depreciation percentage (see instructions) 42 15,625,0 x 43 42 Depreciation allowable (see instructions). Multiply line 40 by line 41. Enter here and on line 30 above Part IV Carryover or Unallowed Expenses to 2021 43 Operating expenses. Subtract line 27 from line 26. Ir jess than zero, enter-O- 44 Excess casualty losses and depreciation. Subtract line 33 from line 32. If less than zero, entero For Paperwork Reduction Act Notice, see your tax return instructions. Cot. No. 13232M 44 Form 8829 (20 UMO NO, 1545-00 Schedule SCHEDULE C Profit or Loss From Business (Form 1040) (Sole Proprietorship) Go to www.lrs.gov/Schedule for instructions and the latest Information. 2020 Department of the Treasury Attach to Form 1040, 1040-SR, 1040-NR, or 1041; partnerships generally Attachment Internal Revenue Service (99) must flle Form 1065. Sequence No. o Name of proprietor Social security number (SSN) Trish Himple 123-45-6789 Principal business or profession, including product or service (see instructions) B Enter code from Instructions Retall Clothing Store 448140 Business name. If no separate business name, leave blank. D Employer ID number (EIN) (see Instr.) Himple Retall 951-23-4321 Business address (including suite or room no.) c E 4321 Heather Drive City, town or post office, state, and ZIP code Henderson, NV 89002 Accounting method: (1) Cash (2) Accrual (3) Other (specify) Did you "materially participate in the operation of this business during 2020? If "No," see instructions for limit on Yes losses Yes Yes If you started or acquired this business during 2020, check here Did you make any payments in 2020 that would require you to file Form(s) 10907 See instructions If "Yes," did you or will you file required Form(s) 1099? art I Income Gross receipts or sales. See Instructions for line 1 and check the box if this income was reported to you on Form W-2 and the "Statutory employee" box on that form was checked 1 340,000 2 14,000 Returns and allowances 16 . Form 8829 16 Excess mortgage interest (see instructions) 17 Excess real estate taxes (see instructions) 18 Insurance 17 18 1,100 19 Rent 19 20 20 Repairs and maintenance 1,000 21 21 Utilities 3,000 22 22 Other expenses (see instructions) 23 Add lines 16 through 22 23 4,100 x 24 61,500 X 24 Multiply line 23, column (b), by line 7 25 Carryover of prior year operating expenses (see Instructions) 25 form 8829 26 750 X 26 Add line 23, column (a), line 24, and line 25 27 273 x 28 78,356 x 29 27 Allowable operating expenses. Enter the smaller of line 15 or line 26 28 Limit on excess casualty losses and depreciation. Subtract line 27 from line 15..... 29 Excess casualty losses (see Instructions) 30 Depreciation of your home from line 42 below 30 150,000 x 31 Carryover of prior year excess casualty losses and depreciation (see instructions) 31 32 Add lines 29 through 31 33 Allowable excess casualty losses and depreciation Enter the smaller of line 28 or line 32 34 Add lines 14, 27, and 33 35 Casualty loss portion, if any, from lines 14 and 33. Carry amount to Form 4684. See instructions 32 0 33 O 34 o 0 35