Question

Advanced Scenario 6: Matthew and Mary Donnelly
Interview Notes
• Matthew and Mary are married and want to file a joint return. They provided all the
cost of keeping up the home and all of the support for their son Ryan.
• Ryan has no income and no filing requirement.
• Matthew retired and began receiving retirement income on April 1, 2018. No distributions
were received prior to his retirement. Matthew selected a joint survivor annuity
for these payments.
• Matthew was covered by Medicare all year. Mary and Ryan had minimum essential
healthcare coverage (MEC) through Mary’s employer until October 14th when
she was laid off. Mary and Ryan did not have MEC all of November and December
2018.
• Matthew and Mary stated if they are entitled to a refund, they want half of it deposited
into their checking account and the other half deposited into their savings
account. The checking account number is 123456789 and the savings account
number is 987654321.

18.Ryan qualifies the Donnellys for the credit for other dependents.  
True
False
19.The Donnellys must pay an individual shared responsibility payment because Mary and Ryan did NOT have
healthcare coverage for each month of 2018.  
True
False
20.The net capital gain or loss reported on Schedule D, Capital Gains and Losses, is a gain of $638.  
True
False  
21.The combined age used to calculate the taxable portion of the pension using the Simplified Method is 129.  
True
False  
22.None of Matthew's Social Security income is taxable.  
True
False
23.The Donnellys can split their refund using Form 8888, Allocation of Refund (Including Savings Bond
Purchases).  
True
False  
24.The total withholding on the tax return is $4,146.  
True
False

Answer 1