In 2020, Professor Patricia (Patty) Pt retired from the Palm Springs Culinary Arts Academy (PSCAA). She is a single taxpayer and is 62 years old.

In 2020, Professor Patricia (Patty) Pâté retired from the Palm Springs Culinary Arts Academy (PSCAA). She is a single taxpayer and is 62 years old. Patty lives at 98 Colander Street, Apt. 206D, Henderson, NV 89052. Professor Pâté’s Social Security number is 565-66-9378. In 2020, Patty had just a few months of salary from her previous job:

Patty owns a rental condo located at 392 Spatula Way, Mount Charleston, NV 89124. The condo rented for two months of 2020 for $850 a month but a mold problem was discovered in the condo, her renters moved out, and she was unable to rent the apartment after the repairs (despite Patty vigorously pursuing new tenants). Patty actively manages the property herself. The following are the related expenses for the rental house:

The condo was purchased on August 31, 1981. Patty handles all rental activities (e.g., rent collection, finding tenants, etc.) herself. In 2020, Patty sold her beloved home of almost 30 years for $380,000 on February 27, 2020. Her basis in the home was $120,000 and she acquired the home sometime in July of 1990 (she could not remember the day). Patty received a $1,200 EIP in 2020.

Required: 

Complete Professor Pâté’s federal tax return for 2020. Use Form 1040, Schedule D, Form 8949, Schedule E, and Form 8582 (page 1 only) to complete this tax return. Also, to compute Patty’s net operating loss carryforward, prepare only Schedule A of Form 1045.

Wages Federal tax withheld State tax withheld $9,900 450 0