Howard Gartman is a 40% partner in the Horton & Gartman Partnership. During 2018, the partnership reported the total items below (100%) on its Form 1065:

Ordinary income.........................................$180,000
Qualified dividends.........................................10,000
Long-term capital loss..................................(12,000)
Long-term capital gain....................................28,000
Charitable contributions...................................4,000
Cash distributions to partners.....................150,000

Howard and his wife Dawn, who file a joint return, also had the following income and deductions from sources not connected with the partnership:

Income
Dawn's salary...........................................$40,000
Qualified dividends......................................3,000
Deductions
Mortgage interest.......................................12,000
Real estate taxes...........................................5,800
Charitable contributions..............................3,000

Howard and Dawn have two children. During 2018, Dawn had $4,500 in federal income taxes withheld from her salary and Howard made four estimated tax payments of $2,500 each ($ 10,000 total). Compute Howard and Dawn's Federal income tax liability for 2018 and whether they have a balance due or a tax refund. Ignore the child tax credits.