During 2018, Cassandra Albright, who is single, worked part-time
at a doctor’s office and received a W-2. She also had a cash-basis
consulting practice that had the following income and expenses:
|
| Revenue |
$ |
48,000 |
| Laptop computer purchased 4/23/18 (§ 179 elected) |
|
2,300 |
| Travel 2,500 miles for business, 13,000 personal |
|
|
| Supplies |
|
500 |
| Cell phone charge |
|
540 |
|
Cassandra (SSN 412-34-5670) resides at 1400 Medical Street, Apt.
3A, Lowland, CA 92273. Professional code 622000. Her W-2 shows the
following:
|
| Wages |
$ |
45,300 |
| Federal withholding |
|
4,983 |
| Social security wages |
|
45,300 |
| Social security withholding |
|
2,809 |
| Medicare withholding |
|
657 |
| State withholding |
|
2,265 |
|
|
|
| Other income: |
|
|
| 1099-INT Old Bank |
|
2,300 |
| 1099-DIV Bake Co., Inc.—Ordinary dividends |
|
3,100 |
| Qualified dividends |
|
3,100 |
|
Cassandra had the following itemized deductions:
|
| State income tax withholding |
$ |
2,265 |
| State income tax paid with the 2017 return |
|
350 |
| Real estate tax |
|
3,450 |
| Mortgage interest |
|
12,300 |
|
Cassandra made two federal estimated payments of $6,500 each on
April 15 and June 15. She had qualifying health care coverage at
all times during the tax year.
Prepare Form 1040 for Cassandra for 2018, including Schedule A,
Schedule B, Schedule C, Schedule SE and Form 4562. Use the
appropriate Tax Tables.
(Input all the values as positive numbers. Use Rounded
values for tax computation. Do not round other intermediate
computations. Round your final answers to nearest whole dollar and
percentage values to two decimal places.) 2018 tax
tables
