Question

In: Accounting

Beverly and Ken Hair have been married for 3 years. Both taxpayers are under age 65....

Beverly and Ken Hair have been married for 3 years. Both taxpayers are under age 65. Beverly works as an accountant at Cypress Corporation. Ken is a full-time student at Southwest Missouri State University (SMSU) and also works part-time during the summer at Cypress Corp. Ken's birthdate is January 12, 1992 and Beverly's birthdate is November 4, 1994. Beverly and Ken each received a W-2 form from Cypress Corporation. The Hairs have interest income of $1,000 on City of St. Louis bonds. Beverly and Ken also received a Form 1099-INT from Boatman's Bank and a 1099-DIV form from green Corporation. Ken is an excellent student at SMSU. He was given a $1,750 scholarship by the university to help pay educational expenses. The scholarship funds were used by Ken for tuition and books. Last year, Beverly was laid off from her former job and was unemployed during January 2018. She was paid $1,825 of unemployment compensation until she started work with her current employer, Cypress Corporation. Ken has a 4-year-old son, Robert R. Hair, from a prior marriage that ended in divorce in 2013. During 2018, he paid his ex-wife $300 per month in child support. Robert is claimed as a dependent by Ken's ex-wife. During 2018, Ken's aunt died. The aunt, in her will, left Ken $15,000 in cash. Ken deposited this money in the Boatman's Bank savings account. Required: Complete the Hair's Form 1040, Schedule 1, and the Qualified Dividends and Capital Gain Tax Worksheet. The Hair's had health cover for the entire year. They do not want to make any contribution to the presidential election campaign. Make any other realistic assumptions about any missing data. If an amount box does not require an entry or if an amount is zero, enter "0". Enter amounts as positive numbers. If required, round amounts to the nearest dollar.

Solutions

Expert Solution


Related Solutions

Bev and Ken Hair have been married for 3 years. They live at 3567 River Street,...
Bev and Ken Hair have been married for 3 years. They live at 3567 River Street, Springfield, MO 63126.Ken is a full time student at Southwest Missouri State University and Bev works as an accountant at Cypress Corp. Bevs' W-2 shows Wages and tips other compensations=$50350.18 Federal income tax withheld= $4950.00 Social security wages =$50350.18 social sec. tax withheld = $3121.70 Medicare wages and tips= $50350.18 and Medicare tax withheld= $730.08 Also the Hairs have intrest income of $1000 on...
Bev and Ken Hair have been married for 3 years. They live at 3567 River Street,...
Bev and Ken Hair have been married for 3 years. They live at 3567 River Street, Springfield, MO 63126.Ken is a full time student at Southwest Missouri State University and Bev works as an accountant at Cypress Corp. Bevs' W-2 shows Wages and tips other compensations=$50350.18 Federal income tax withheld= $4950.00 Social security wages =$50350.18 social sec. tax withheld = $3121.70 Medicare wages and tips= $50350.18 and Medicare tax withheld= $730.08 Also the Hairs have intrest income of $1000 on...
Tab and Sharon are married and under 65 years of age. During 2015, they furnish more...
Tab and Sharon are married and under 65 years of age. During 2015, they furnish more than half of the support of Sean, Carla, and Cheryl. Sean is Tab’s 25-year old son by PRIOR MARRIAGE and is a full time student in law school. Sean earned $10,000 as a law clerk. This is Sean’s only source of income. Carl’s gross income is $1,500 and Cheryl’s gross income is $1,800. Sean is a member of Tab’s household. Carla is TB’S former...
Janet and Paul have been married for 17 years. They have 3 children, Susan, age 16,...
Janet and Paul have been married for 17 years. They have 3 children, Susan, age 16, Jonathan, age 14, and Lillian, age 6. Janet abuses alcohol and as a result has been neglectful of the children’s care and emotional needs. Paul is in the military and spends a lot of time away and is thus unaware of Janet’s problem and how it is affecting the children. When Paul is around, he is quite strict with the children, which confuses them...
Kimberly has recently married Dean. Both taxpayers are 23 years old. They have one dependent child,...
Kimberly has recently married Dean. Both taxpayers are 23 years old. They have one dependent child, Amber age 3. Kimberly’s W-2 $5,000 Dean’s W-2 $7,000 Kimberly’s unemployment compensation $8,000 Dean’s unemployment compensation $9,000 What is their tax liability and tax credits? What is the maximum earned income credit a family (MFJ) with one child can receive?
Jack, age 72, and Sydney, age 60, have been married for 20 years. Jack is unemployed...
Jack, age 72, and Sydney, age 60, have been married for 20 years. Jack is unemployed and Sydney earns $20,000. How much can Jack and Sydney contribute to each of their traditional IRA in 2020 respectively? Jack can contribute $   Sydney can contribute $ How will your answers change if Jack is 60 and Sydney is 48 years old now? Jack can contribute $   Sydney can contribute $
Warner and Augustine Robins, both 33 years old, have been married for 9 years and have...
Warner and Augustine Robins, both 33 years old, have been married for 9 years and have no dependents. Warner is the president of Dragon Lady Corporation located in Macon. The Dragon Lady stock is owned 40 percent by Warner, 40 percent by Augustine, and 20 percent by Warner’s father. Warner and Augustine received the following tax documents: 1) W-2 Form 2) Form 1099-INT 3) Form 1098 4) Letter from Macon Museum of Arts regarding their charitable contribution. These items are...
4. Apple and Bob Johnson (both age 45) are married taxpayers who file a joint return....
4. Apple and Bob Johnson (both age 45) are married taxpayers who file a joint return. They have a son, John, age 10. During 2018, they had the following receipts: 1 Salary (Apple’s salary: $85000, Bob’s:$72,000) $157,000 2. Interest Income City of Normal school bonds       $1,000 Ford Motor Company bonds         1,200 PNC Bank certificate of deposit       600         2,800 3. Annual gift from parents       26,000 4. Lottery winnings                                                                     1,000 5. Short-term capital loss (from stock investment)      (...
Mary and Bob have been married for 25 years. They are both college professors. Mary (50...
Mary and Bob have been married for 25 years. They are both college professors. Mary (50 years of age) makes $65,000 annually and Bob (60 years of age) makes $75,000 annually. Their oldest daughter is getting married. Bob and Mary would like to either 1) take out a second mortgage on their home (they can get an interest rate of 7 percent) or 2) withdraw funds from their IRAs or 3) sell their rental property. The cost of the wedding...
3.         Lisa and David have been married for two years. They have just decided that summer...
3.         Lisa and David have been married for two years. They have just decided that summer of 2022 should be spent in Switzerland. They figured out that in order to meet the cost of the entire vacation they would only have to dedicate what they already have in their saving account now ($ 5,859.37) for that vacation, keeping their regular monthly saving during the next two years for different purposes. Given that the annual compound interest rate is 8.5%, how...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT