Reference no: EM134007324
Problem
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 $3,150 during the year to the school for the after-school care.
The Forms W-2 from Canyon Honda contained the following information:
Lillian Perdue:
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Wages (box 1) =
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$ 72,586.67
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Federal W/H (box 2) =
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$ 7,165.00
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Social Security wages (box 3) =
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$ 72,586.67
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Social Security W/H (box 4) =
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$ 4,500.37
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Medicare wages (box 5) =
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$ 72,586.67
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Medicare W/H (box 6) =
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$ 1,052.51
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David Perdue:
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Wages (box 1) =
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$ 62,434.91
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Federal W/H (box 2) =
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$ 6,492.14
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Social Security wages (box 3) =
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$ 62,434.91
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Social Security W/H (box 4) =
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$ 3,870.96
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Medicare wages (box 5) =
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$ 62,434.91
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Medicare W/H (box 6) =
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$ 905.30
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Task
Prepare the Perdues' federal tax return. Use Forms 1040, 2441, and any additional appropriate schedules they may need for credits. Get the instant assignment help. For any missing information, make reasonable assumptions. Use the appropriate Tax Tables or Tax Rate Schedules.