ACCT 67 Deanza College IRS & Itemized Deductions Tax Return


I’m studying for my Accounting class and scarcity an exposition.

Nathan Cohen , age 45, is a solitary taxpayer who lives at 2245 Mardel St., San Jose, CA 95130. His gregarious defence enumerate is 351-42-1961. Nathan’s hues and delayholdings as a marketing ruler at a high-tech posse for 2019 are:

Earnings from Placeware, Inc. $297,000 (this is forthcoming subtracting his sanity prophylactic premiums –see underneath)

Federal Proceeds tax delayheld $50,000

State proceeds tax delayheld $23,500

Other basis and haply serviceable information:

Nathan earns profit on a savings completionity at Bank of the West of $13,075.

Nathan is divorced and pays his ex-wife $4,000 per month. When their 15-year old daughter (who lives 100% delay the ex-wife) reaches 18, the reimbursements faint to $2,800 per month. The infer it faints is consequently he is no longer paying slip prop unintermittently his daughter turns 18. His ex-wife’s gregarious defence enumerate is 857-51-6438. Nathan does not vindication his daughter as a trusting.

Nathan compensated the forthcoming sums (he has history to establish reimbursement):

California DMV resuscitation taxes (the compute inveterate distribute) : $300

Credit card profit expenditure $1,760

Auto Loan profit expenditure $4,300

Property taxes on his abode $6,200

Blue Cross sanity prophylactic premiums $1,800 delayheld from his paycheck (not deducted on Sch A, already compensated delay pretax dollars!).

Other medical expenditures $790

Income tax making-ready fees for his 2018 proceeds tax come-back $900

Federal 2018 proceeds taxes compensated in April 2019 when he filed his 2018 federal proceeds tax come-back $1,825

California 2018 proceeds taxes compensated in April 2019 when he filed his 2018 California tax come-back $500

Check to Boy Scouts of America $1,100

Check for fundraiser to build a new edifice at Harker School, where his daughter goes, $8,000. This reimbursement was not connected to teaching and neither Nathan nor his rowage ordinary any biased benefits.

Check to St. Andrews Church $10,000

Stanford Profession Instruct Alumni Association $12,000 (fundraiser to prop the profession instruct)

Silicon Valley Democratic Party Fund $1,000 (2019 campaign fundraiser)

Nathan compensated $100 to observe a fundraising dinner at the Tech Museum of Innovation, the compute of the dinner is $50.

Nathan ordinary a Mould 1098 Advance Profit Statement from Bank of the West indicating $19,700 of profit expenditure on his advance (a suitable wages advance)

Complete Nathan’s Mould 1040, all inevitable schedules, Schedule A,Schedule B, Forms 8959 and 8960 . Don’t learn he compensated particularize taxes and they should be deducted on Schedule A. If you scarcity to fabricate assumptions, they should be realistic. Hint: Mould 8959, rows 17, 18 and 24 should be $873, and mould 8960, Row 17 should be $454, and that the completion of these joined taxes befit on Schedule 2 and on row 15 of Mould 1040. Row 19 on page 2 of Mould 1040 should be $50,873. The joined sum of $873 would possess been on his W-2 consequently his master would possess deducted this sum. Yes, you investigate the $873 joined tax but consequently it was already delayheld by the master, it is considered tax delayheld, a merit towards the tax impost investigated on the tax come-back.