Question
Wendy O'Neil (SSN 412-34-5670), who is single, worked full time as the director at a local charity. She resides at 1501 Front Street, Highland, AZ
Wendy O'Neil (SSN 412-34-5670), who is single, worked full time as the director at a local charity. She resides at 1501 Front Street, Highland, AZ 85711. For the year, she had the following reported on her W-2: Wendy inherited a beach house in North Carolina (rental only) on January 2, 2021, from her father. The FMV at the father's death was $850,000. He had purchased the house 20 years earlier for $100,000. On December 29, 2021, Wendy properly conducted a like-kind exchange for rental real estate located at 128 Lake Boulevard, Hot Town, AZ. She received rental property with an FMV of $950,000and $20,000cash in exchange for the North Carolina beach house. The Anizona property did not produce any income until 2021. Prepare Form 1040 for Wendy for 2021. The taxpayer had qualifying health care coverage at all. times during the tax year. You will also need Schedule 1, Schedule A, Schedule E. Form 4562, Form 4797, Form 8824, and Form 8995. Use the appropriate Table 6A-6 and Tax Tables or Tax Rate Schedules.
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