Tax Return Project 3 Bullets

Tax Return Project 3 Bullets - child turning 18. Included...

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Married Filing Jointly Divorcee 3 Children 2008 itemized deductions = $11,000 2008 Total Tax Liability = $30,000 Daughter (18 years) lived at home entire year. Daughter earned $8,250. Taxpayer paid almost all expenses. 75 year-old mother-in-law lived at taxpayer’s home from the end of March through the rest of the year. Earned $2,500 in dividends and $8,000 in municipal bonds and spent all on food and rent. Taxpayer paid $11,000 in non-room/board related expenses, including $3,500 in hospital expenses (listed under medical expenses) in November. Daughter (25 years) married in April. Filing married jointly with husband. Sole income is $5,000 earned by husband which was used to pay pre-marriage expenses. Taxpayer provided for 100% of expenses in the amount of $18,000 for the year. Son (28 years) in jail. Paid $10,000 of father’s mortgage (included in statement of interest expenses). Divorced wife paid $8,000 in “alimony” from divorce settlement which is last payment due to youngest
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Unformatted text preview: child turning 18. Included un-reimbursed country club dues because much of club use is business related. Wife bought a $4,000 computer on May 1 for her consulting business. Taxpayer and wife bought a new $45,000 Acura RL for both wifes consulting business as well as some personal use. Purchase made on July 1. Taxpayer wants to maximize deduction/write-off from purchase on 2009 tax return. Bought land at cost of $50,000 on May 1, 2008 for investment purposes. Sold land to the city for $150,000 on November 22, 2009. Donated $12,000 to Prince Church in equal first-of-the-month installments. Donated $1,000 to Republican National Committee. Donated baseball card collection Childrens Hospital on September 1, 2009. Paid $3.500 for collection on May 15, 1992. Appraised at $4,000. Wife made first contribution of $3,000 to a regular IRA on December 29, 2009....
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This note was uploaded on 05/26/2011 for the course ACCT 5400 taught by Professor Staff during the Spring '08 term at University of Georgia Athens.

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