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Hello, I need help with homework: Assume the taxpayer does NOT wish to contribute to the Presidential Election Fund, unless otherwise stated in the problem. In addition, the taxpayers did NOT receive,
Hello, I need help with homework:
Assume the taxpayer does NOT wish to contribute to the Presidential Election Fund, unless otherwise stated in the problem. In addition, the taxpayers did NOT receive, sell, send, exchange, or otherwise acquire any financial interest in any virtual currency during the year.
Married taxpayers David and Lillian Perdue file jointly and have a daughter, Erin. They live at 9510 Bluebird Canyon Drive, Seattle, WA 99201. The Perdues own their home, which was paid off last year. David works as a salesman for the Canyon Honda car dealer and Lillian works at the same dealer as the manager of the service department. The social security number for David is 412-34-5670; for Lillian, 412-34-5671; and for Erin, 412-34-5672. Their birth dates are as follows: David, 1/18/1971; Lillian, 3/14/1971; and Erin, 11/21/2011.
Erin attends school during the day and in the afternoon attends Seattle Day Care (1 Day Street, Seattle WA 99201, EIN 92-6789012). The Perdues paid $2,800 during the year to the school for the after-school care.
The Forms W-2 from Canyon Honda contained the following information:
Lillian Perdue:
Wages (box 1) =
$ 72,000.00
Federal W/H (box 2) =
$ 7,165.00
Social security wages (box 3) =
$ 72,000.00
Social security W/H (box 4) =
$ 4,464.00
Medicare wages (box 5) =
$ 72,000.00
Medicare W/H (box 6) =
$ 1,044.00
David Perdue:
Wages (box 1) =
$ 62,434.91
Federal W/H (box 2) =
$ 6,492.14
Social security wages (box 3) =
$ 62,434.91
Social security W/H (box 4) =
$ 3,870.96
Medicare wages (box 5) =
$ 62,434.91
Medicare W/H (box 6) =
$ 905.30
Prepare the Perdues’ federal tax return. Use Forms 1040, 2441, and any additional appropriate schedules they may need for credits. For any missing information, make reasonable assumptions. Use the appropriate Phaseout Schedule, Tax Tables or Tax Rate Schedules.
Note: List the names of the taxpayers in the order in which they appear in the problem. Input all the values as positive numbers. Instructions can be found on certain cells within the forms. Do not round intermediate computations. Round your final answers to the nearest whole dollar amount. Do not skip rows, while entering in Dependents section of Form 1040 PG1.
These are the forms that need to be completed.
Year 2021 Forms:
1040, Schedule 1, Schedule 8812, and Form 2441
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