Question
USE THIS INFORMATION AND IMPLEMENT IT ONA FORM 104 TAX YEAR 2017 FORM THOMAS AND VANESSA KILEY ARE MARRIED. THEY ALWAYS FILE A JOINT TAX
USE THIS INFORMATION AND IMPLEMENT IT ONA FORM 104 TAX YEAR 2017 FORM
THOMAS AND VANESSA KILEY ARE MARRIED. THEY ALWAYS FILE A JOINT TAX RETURN. THEY HAVE ONE SON, RYAN, AGE 14. RYAN IS A DEPENDENT AND SO IS TOM'S ELDERLY MOTHER, ANN KILEY. TOM IS AN ACCOUNTANT AND VANESSA IS SELFEMPLOYED. SHE PROVIDES DATA PROCESSING SERVICES FOR PHYSICIAN CLIENTS. TOM IS 39, VANESSA IS 41, AND ANN IS 66.
THEIR ADDRESS IS 982 WILLIS AVENUE PAWTUCKET, RI 02860.
THOMAS 035-22-6363 RYAN 358-66-1970
VANESSA 037-40-1040 ANN 040-23-7450
INCOME:
THOMAS' SALARY:
TAXABLE WAGES 81,000
FEDERAL INCOME TAX WITHHELD 6,800
STATE INCOME TAX WITHHELD 2,800
VANESSA RECEIVED LIFE INSURANCE PROCEEDS FROM HER DECEASED BROTHER. 50,000
CAPITAL GAIN DISTRIBUTIONS FROM VANGUARD FUNDS. 7,600
INTEREST INCOME FROM WEBSTER BANK. 850
INTEREST INCOME FROM MUNICIPAL BONDS. 2,100
DIVIDEND INCOME E*TRADE FUNDS. THE PORTION OF QUALIFIED DIVIDENDS IS 1,800
$1,200.
GROSS RECEIPTS FROM VANESSAS DATA PROCESSING BUSINESS. SHE USES THE CASH BASIS. THE BUSINESS BEGAN 1/1/2011. 19,500
VANESSA RECEIVES ALIMONY FROM HER EX-HUSBAND. 6,000
DEDUCTIONS:
THESE ARE VANESSAS DATA PROCESSING BUSINESS EXPNSES 800
PENALTIES PAID TO THE STATE BUSINESS REGULATION DEPARTMENT 1,200
BUSINESS INSURANCE 1,100
OFFICE SUPPLIES 750
TELEPHONE EQUIPMENT RENTAL 1,500
INTERNET 900
BUSINESS LICENSE 600
INTEREST EXPENSE PAID ON THE BUSINESS CREDIT CARD 440
VANESSA USES HER CAR FOR BUSINESS PURPOSES. HER TOTAL MILES FOR THE YEAR IS 8,500 AND THE BUSINESS MILES IS 1,495. SHE USES THE STANDARD MILEAGE METHOD.
VANESSA USES ONE ROOM OF HER HOME AS A HOME OFFICE TO PERFORM THE DATA ENTRY. THE TOTAL SQUARE FOOTAGE OF THE HOME IS 2,400. THE BUSINESS AREA IS 200 SQUARE FEET. SHE USES THE SIMPLIFIED METHOD.
THOMAS PAID STUDENT LOAN INTEREST.
ITEMIZED DEDUCTIONS:
REAL ESTATE TAXES 3,700
AUTOMIBILE TAXES 300
HOME MORTGAGE INTEREST ON $425,000 MORTGAGE 10,500
CASH CHARITABLE CONTRIBUTIONS 5,200
THOMAS UNREIMBURSED EMPLOYEE EXPENSES 1,200
TAX PREPERATION FEES 300
OUT-OF-POCKET MEDICAL EXPENSES PAID 2,400
STATE INCOME TAX BALANCE DUE FOR 2016 PAID IN 2017 600
VANESSA CONTRIBUTED TO A ROTH IRA. 4,000
VANESSA MADE FOUR QUARTERLY ESTIMATED TAX PAYMENTS OF $250. 1,000
FOREIGN TAXES PAID ON THE E*TRADE MUTUAL FUNDS. THE KILEYS ALWAYS TAKE THEM AS A TAX CREDIT. 200
OTHER INFORMATION:
THE FAMILY WAS COVERED BY HEALTH INSURANCE ALL YEAR. THOMAS EMPLOYER PAYS THE HEALTH INSURANCE PREMIUMS FOR THE FAMILY. ANN IS COVERED BY MEDICARE INSURANCE.
THE KILEYS WANT THEIR TAX REFUND, IF ANY, TO BE DEPOSITED DIRECTLY INTO THEIR CHEICKING ACCOUNT. THE ROUTING NUMBER IS 011500120 AND THE ACCOUNT NUMBER IS 000654550.
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