John and Shannon O'Banion, who live at 3222 Pinon Drive, Mesa, CO 81643, file as married filing jointly. John's social security numberis 412-34-5670 (date of birth 5/12/1983), and Shannon's is 412-34-5671 (date of birth 11/3/1985).John's W-2 contained the following information:Wages (box 1) =$ 66,346.74Federal W/H (box 2)=$ 5,224.75=$ 66,346.74=$ 4,113.50Social security wages (box 3)Social security W/H (box 4)Medicare wages (box 5) =Medicare W/H (box 6)$ 66,346.74$ 962.03Shannon did not work for the year due to a medical condition but did receive unemployment compensation of $5,328 for the year withfederal withholding of $654.68. In the same year, they had the following medical costs:Shannon's prescribed diabetes medication$ 4,250Shannon's hospital charges9,350Shannon's regular physician visits835Shannon's eye doctor75Shannon's diabetes blood testing supplies685Insurance reimbursements1,925In addition, they had the following other expenses:State income taxes$ 4,950Real estate property taxesCar loan interestPersonal property taxesCash charitable contributions4,170500765(made ratably throughout the year to their church)Mortgage interest expenseUnion dues for JohnTax preparation feesRequired:2,1359,970575175Prepare a Form 1040 with a Schedule 1 and Schedule A for the O'Banions using any appropriate worksheets. Use the appropriate TaxTables.Note: List the names of the taxpayers in the order in which they appear in the problem. Round your final answers to the nearestwhole dollar amount. Innut all the values ac nocitive numhere Instructions can he found on certain cells within the forme

Form 1040Form 1040 is an Individual Income Tax Return form. Form 1040 is used by U.S. taxpayers to…

John and Shannon O'Banion, who live at 3222 Pinon Drive, Mesa, CO 81643, file as married filing jointly. John's social security number is 412-34-5670 (date of birth 5/12/1983), and Shannon's is 412-34-5671 (date of birth 11/3/1985). John's W-2 contained the following information: $ 66,346.74 Wages (box 1) = Federal W/H (box 2) = Social security wages (box 3) = Social security W/H (box 4) = Medicare wages (box 5) = Medicare W/H (box 6) = $ 66,346.74 $ 5,224.75 $ 4,113.50 $ 66,346.74 $ 962.03 Shannon did not work for the year due to a medical condition but did receive unemployment compensation of $5,328 for the year with federal withholding of $654.68. In the same year, they had the following medical costs: Shannon's prescribed diabetes medication Shannon's hospital charges Shannon's regular physician visits Shannon's diabetes blood testing supplies Shannon's eye doctor Insurance reimbursements In addition, they had the following other expenses: State income taxes Real estate property taxes Car loan interest Personal property taxes Cash charitable contributions (made ratably throughout the year to their church) Mortgage interest expense Union dues for John $ 4,250 9,350 835 75 685 1,925 $ 4,950 4,170 500 765 2,135 9,970 575 175 Tax preparation fees Required: Prepare a Form 1040 with a Schedule 1 and Schedule A for the O'Banions using any appropriate worksheets. Use the appropriate Tax Tables. Note: List the names of the taxpayers in the order in which they appear in the problem. Round your final answers to the nearest whole dollar amoune lanus all she values as necisive numbers. Instruction in be found on certain colle wishin she forme

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter12: Tax Credits And Payments

Section: Chapter Questions

Problem 37CP