Alice Johnson, Social Security number 222-23-3334, is single taxpayer and is employed as a secretary by State

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Alice Johnson, Social Security number 222-23-3334, is single taxpayer and is employed as a secretary by State University of Florida. She has the following items pertaining to her income tax return for the current year: Received a $20,000 salary from her employee, who withheld a $3,000 federal income tax Received a gift of 1,000 shares of Ace Corporation stock with a $100,000 FMV from her mother. She also received $4,000 of cash dividends from the Ace Corporation. The dividends are qualified dividends. Received $1,000 of interest income on bonds issued by the City of Tampa. Received a regular stock dividend (nontaxable under Sec.305) of 50 shares of Ace Corporation stock with a $5,000 FMV. Alice's employer paid $2,000 of medical and health insurance premiums on her behalf. Received $12,000 alimony from her ex-husband. State University provided $60,000 of group term life insurance. Alice is 42 years old and is not a key employee. The table in the text is applicable. Received a $1,000 cash award from her employer for being designated the Secretary of the Year. The itemized deduction are $8,000 Complete Form 1040 and accompanying schedules for Alice Johnson's 2013 return. 1. List the forms and accompanying schedules for Alice Johnson's federal tax return 2. Line 9a Total ordinary dividends 3. Line 22 Total Income 4. Line 43 Taxable Income 5. Line 60 Total Tax
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

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