use 2019 tax forms

FACTS: Wayne Fong (born 05/02/1980, 5S #565-44-4444) is a doctor employed by UCSF. He divorced his wife Theresa Fong (SS # 565-22-2222) on December 1, 2016. His daughter, Paula Fong was born 12/03/2002 (SS 565-44-3333). She is a freshman at SFSU and lives in the dormitories. It is her freshman year, but during the summer she is intending to live with Wayne, Paula earns $2000 from a part-time job, receives a $4000 scholarship, receives a loan of $3000, and uses $1000 of her own savings to support herself. Wayne provides support for her of an additional $2500 and Theresa provides support of $4000. In 2019, Wayne had higher gross income and AG than Theresa. Wayne lived all year with his current girlfriend Yaofeng Huang (born 05/03/1994, 5S # 565-88-8888) who is single and her daughter Dim Sum Huang (06/05/2013 SS 565-77-7777) from a prior marriage. They all live at 1600 Holloway Avenue, San Francisco, Ca. 941321600 Yaofeng earned a salary of $48,000 as a dental hygienist (see above). She also received a qualified dividend of $10,000 from IBM Corp (See above). Yaofeng contributed $10,000 of her income to a joint bank account with Wayne from which Wayne paid all the expenses for the upkeep of the household. Wayne contributed $50,000 to the joint account. Total expenditures this year were $60,000 including household expenses for the four of them of $30,000 per year. Dim Sum's total support was $8000 for the year which came out of the joint account Dim Sum is blind. On 12/25/2019 Yaofeng and Wayne had another child, Chowfun (5S # 565-99-9999) who lived with them. All expenses for ChowFun are paid from the joint account. Wayne and Yaofeng have no agreement as to who claims Chowfun or Dim Sum as a dependent. Additional Income for Wayne: Interest Income Microsoft Bonds $12,132.00 Interest Income from City of Boise Bonds $4,000 Sold Exxon stock on 9/3/2019 2000 shares at a price of $39/share. Purchase on 01/05/2000 for $19/share. Sold a used 2015 Toyota Camry that Wayne purchased on 1/20/2019 for $15,000 and sold it on 6/1/2019 for $15,500 Wayne stole a laptop computer from UCSF which cost $3000 on 2/1/2017 and was worth $1,200 on 3/1/2019 the date he stole it. Wayne also had the following expenses Mortgage interest expense $13,400 Real estate taxes $12,300 Contribution to First Methodist Church $5,000 Medical Insurance premiums paid for Yaofeng $12,000 Medical Insurance premiums for Dim Sum $4,000 5 Medical expenses for Paula $9,000 2019 California Estimated Taxes paid $3,000 2019 Federal Estimated Taxes paid $5,000 Alimony paid $13,000 Gift received from Wayne's parents $5,000 Wayne paid for investment advice $1000 Wayne sold his old bedroom furniture which he bought in 2000 for $5000 and sold for $1000 on 3/1/2020 12. ANSWER: these 5 questions . QUESTION 1: Please explain whether and why Wayne or Yaofeng is entitled to either the Child Tax Credit or the Other Dependent Credit for: 1) Paula 2) Yaofeng 3) Dim Sum and 4) Chow Fun. Assume Wayne and YaoFeng want to minimize the total taxes they pay as a couple. . QUESTION 2: Explain which filing status is proper for Wayne and Yaofeng and why? Assume Wayne and YaoFeng want to minimize the taxes they pay as a couple. . QUESTION 3: Compute Wayne's Tax Due or Refund and Weifung's tax due or refund. Taxable Tax on Computation of Tax on Income Ordinary Ordinary and LTCG Income . QUESTION 4: Show calculations for Wayne's average federal income tax rate? . QUESTION 5: Show calculations for Wayne's effective tax rate? FACTS: Wayne Fong (born 05/02/1980, 5S #565-44-4444) is a doctor employed by UCSF. He divorced his wife Theresa Fong (SS # 565-22-2222) on December 1, 2016. His daughter, Paula Fong was born 12/03/2002 (SS 565-44-3333). She is a freshman at SFSU and lives in the dormitories. It is her freshman year, but during the summer she is intending to live with Wayne, Paula earns $2000 from a part-time job, receives a $4000 scholarship, receives a loan of $3000, and uses $1000 of her own savings to support herself. Wayne provides support for her of an additional $2500 and Theresa provides support of $4000. In 2019, Wayne had higher gross income and AG than Theresa. Wayne lived all year with his current girlfriend Yaofeng Huang (born 05/03/1994, 5S # 565-88-8888) who is single and her daughter Dim Sum Huang (06/05/2013 SS 565-77-7777) from a prior marriage. They all live at 1600 Holloway Avenue, San Francisco, Ca. 941321600 Yaofeng earned a salary of $48,000 as a dental hygienist (see above). She also received a qualified dividend of $10,000 from IBM Corp (See above). Yaofeng contributed $10,000 of her income to a joint bank account with Wayne from which Wayne paid all the expenses for the upkeep of the household. Wayne contributed $50,000 to the joint account. Total expenditures this year were $60,000 including household expenses for the four of them of $30,000 per year. Dim Sum's total support was $8000 for the year which came out of the joint account Dim Sum is blind. On 12/25/2019 Yaofeng and Wayne had another child, Chowfun (5S # 565-99-9999) who lived with them. All expenses for ChowFun are paid from the joint account. Wayne and Yaofeng have no agreement as to who claims Chowfun or Dim Sum as a dependent. Additional Income for Wayne: Interest Income Microsoft Bonds $12,132.00 Interest Income from City of Boise Bonds $4,000 Sold Exxon stock on 9/3/2019 2000 shares at a price of $39/share. Purchase on 01/05/2000 for $19/share. Sold a used 2015 Toyota Camry that Wayne purchased on 1/20/2019 for $15,000 and sold it on 6/1/2019 for $15,500 Wayne stole a laptop computer from UCSF which cost $3000 on 2/1/2017 and was worth $1,200 on 3/1/2019 the date he stole it. Wayne also had the following expenses Mortgage interest expense $13,400 Real estate taxes $12,300 Contribution to First Methodist Church $5,000 Medical Insurance premiums paid for Yaofeng $12,000 Medical Insurance premiums for Dim Sum $4,000 5 Medical expenses for Paula $9,000 2019 California Estimated Taxes paid $3,000 2019 Federal Estimated Taxes paid $5,000 Alimony paid $13,000 Gift received from Wayne's parents $5,000 Wayne paid for investment advice $1000 Wayne sold his old bedroom furniture which he bought in 2000 for $5000 and sold for $1000 on 3/1/2020 12. ANSWER: these 5 questions . QUESTION 1: Please explain whether and why Wayne or Yaofeng is entitled to either the Child Tax Credit or the Other Dependent Credit for: 1) Paula 2) Yaofeng 3) Dim Sum and 4) Chow Fun. Assume Wayne and YaoFeng want to minimize the total taxes they pay as a couple. . QUESTION 2: Explain which filing status is proper for Wayne and Yaofeng and why? Assume Wayne and YaoFeng want to minimize the taxes they pay as a couple. . QUESTION 3: Compute Wayne's Tax Due or Refund and Weifung's tax due or refund. Taxable Tax on Computation of Tax on Income Ordinary Ordinary and LTCG Income . QUESTION 4: Show calculations for Wayne's average federal income tax rate? . QUESTION 5: Show calculations for Wayne's effective tax rate