Regarding Order 6472050
I still need the following forms please.
Schedule 1
Schedule 2
Schedule A
Schedule B
Schedule C
Schedule D
Form 8949
Schedule SE
Form 8812
Form 8995
Form 6252
Form 8824
Form 8829
Forms 4562
After you complete the fillable forms, Save and select Print to PDF,
Hints
Diego’s taxable wage income includes his salary and bonus reduced by his § 401(k) plan (taxation is deferred until he takes distributions from the plan). Diego’s salary is not reduced by his group health insurance plan contribution because it was made with after-tax dollars. Instead, this amount represents health premiums paid.
The basic computation for QBI is the net income from the proprietorship less self-employment tax deduction and retirement contributions related to the business. QBI is reported on Form 8995. See QBI related post in Help Desk forum.
For Home Office use Form 8829. Computations in Part II differentiate between direct costs and indirect costs associated with the home which need to be prorated. e.g. indirect costs include mortgage interest, real estate taxes, insurance, repairs and maintenance, and utilities. Depreciation on the home is computed in Part III on the prorated business-use adjusted basis for the house. Isabel is electing § 179 expensing for the fireproof file cabinet. Refer to Chapter 8.
Isabel’s exchange of the Ector County property for the McLennan County property qualifies as a like-kind exchange. She reports this transaction on Form 8824.
Installment sales are reported on Form 6252. The installment sale method of accounting generally applies to gains on dispositions of property if the seller receives at least one part of the purchase price in a year following the year of sale. Under this method of accounting, recognition of the realized gain occurs when installment payments are received.
To be deductible a nonbusiness bad debts must be completely worthless. A nonbusiness bad debt is treated as a short-term capital loss, on Form 8949 Part I with Box C checked.
Securities deemed worthless should be reported on Form 8949 Part II with Box F checked. The amount is determined as of the “date sold or disposed of” because worthless securities are deemed sold on the last day of the tax year in which worthlessness is established. The amount is also carried over to line 10, Part II of Schedule D.
See Chapter 5, Interest on Certain State and Local Government Obligations. Interest on state and local government obligations was specifically exempted from Federal income taxation. IRC Section 103(a).
The 1040 instructions (page 25) for Line 3. Qualified Dividends: Enter your total qualified dividends on line 3a. Qualified dividends are also included in the ordinary dividend total required to be shown on line 3b. Qualified dividends are eligible for a lower tax rate than other ordinary income.
Gambling gains and losses cannot be netted for reporting purposes. See Form 1040 Instructions for reporting gambling winnings and losses.
See Chapter 1, 1-4e, State Income Taxes footnote 27 regarding State Income Taxes on individuals. Also, see worksheet for Sales Tax deduction computation, found in the Schedule A instructions.
Charitable contribution deductions are limited to qualified charities. Confirm if a charity is qualified by visiting https://apps.irs.gov/app/eos/ and entering the organization’s EIN or entering the charity’s name on the organizations list at https://www.irs.gov/charities-non-profits/tax-exempt-organization-search-bulk-data-downloads.
For purposes of determining dependent status and eligibility for credits see Chapter 3, 3-4a Qualifying Child and Age Test; and 3-4e, Child and Dependent Tax Credits.
To compute Tax on Form 1040 line 16, use the Schedule D Tax Worksheet (see attachment) found in the Schedule D instructions. Don’t be intimidated by the worksheet. You just need to read each line and enter the appropriate amount. You will need to use the Tax Tables found in the 1040 instructions for lines 44 and 46 of the Schedule D Tax Worksheet.