John Williams (birthdate August 2, 1975) is a single taxpayer. John’s earnings and withholdings as the manager of a local casino for 2018 are reported on his Form W-2: 

John’s other income includes interest on a savings account at Nevada National Bank of $13,700. John pays his ex-wife, Sarah McLoughlin, $3,900 per month in accordance with their 2012 divorce decree. When their 12-year-old child (in the ex-wife’s custody) reaches the age of 18, the payments are reduced to $2,725 per month. His ex-wife’s Social Security number is 554-44-5555. In 2018, John purchased a new car and so he kept track of his sales tax receipts during the year. His actual sales tax paid is $3,660, which exceeds the estimated amount per the IRS tables. John participates in a high-deductible health plan and is eligible to contribute to a health savings account. His HSA earned $125 in 2018. During the year, John paid the following amounts (all of which can be substantiated):

Credit card interest...............$1,760 

Auto loan interest...............4,300 

Auto insurance...............900 

Contribution to IRA...............5,500 

Property taxes on personal residence...............2,640 

Contributions to HSA...............2,800 

Income tax preparation fee...............900 

Charitable contributions (all cash): 

Boy Scouts...............1,350 

St. Matthews Church...............3,100 

U. of Nevada (Reno) Medical School...............26,900 

Nevada Democratic Party...............250 

Fund-raising dinner for the Reno Auto Museum

(value of dinner is $25)...............100 

John also received the following Form 1098: 

Required: 

Complete John’s federal tax return for 2018. Use Form 1040, Schedule 1, Schedule A, Schedule B, and Form 8889 to complete this tax return. Make realistic assumptions about any missing data.

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a Employee's social security number 555-94-9358 Safe, accurate, Visit the IRS website at file iRS FASTI Use www.irs.gov/efile OMB Na. 1545-0008 Wages, tips, oher compensalion b Employer identification number (EIN) 31-1459656 2 Federal income tax withheid 195,800.00 3 Social security wages 25,000.00 a Employer's name, address, and ZIP code 4 Social security tax withheld 128,400.00 5 Medicare wages and tips 7,960.80 6 Medicare tax withheld Lucky Ace Casino 700 N. Sierra Street 195,800.00 7 Social security tips 2,839.10 Reno, NV 89503 8 Alocated tips 9 Verification code d Control number 10 Dependent care benefits e Employee's first name and initial Suff. 11 Nonqualified plans Last name 12a See instructions for box 12 John Williams 13 y employee Retirement Thed-party ick pay 12b 1324 Skyewalker Drive Reno, NV 89501 120 14 Other 12d t Emplayee's address and ZIP code 15 State Employer's state ID number NV 16 State wagas, tips, eta. 18 Local wages, tips, eta. 17 State income tax 19 Local income tax 20 Locality name 2018 Department of the Treasury-Intemal Revenue Service W-2 Wage and Tax Statement Form Copy B-To Be Filed With Employee's FEDERAL Tax Retun. This information is being furnished to the Internal Revenue Service. CORRECTED (if checked) "Caution: The amount shown may OMB No. 1545-0901 not be tully deductible by you. Limits based on the loan amount and the cost and value of the secured property may apply. Also, you may only deduct interest to the extent it was incured by you, actually paid by you, and not reimbursed by another person. RECIPIENT SLENDER'S name, street address, city or town, state or province, sountry, ZIP or foreign postal code, and telephone no. 2018 Mortgage Interest Reno Bank & Trust 49 Commerce Street Statement Reno, NV 89501 Fom 1098 1 Mortgage interest received from payer(s/borrower(s)" Copy B $ 18,956.78 2 Outstanding mortgage principal as of 1/1/2018 For Payer/ Borrower RECIPIENT SLENDER'S TIN PAYER'S/BORROWER'S TIN 3 Mortgage origination date 03/01/2002 $ 592,700.00 The information in boxes 33-1234569 555-94-9358 1through 9 is important tax information and is 4 Hefund of overpaid 5 Mortgage insurance interest premiums being fumished to the IRS. If you are required to file a retum, a negligence penalty or other sanction may be PAYER SBORROWER'S name 2$ 2$ 6 Points paid on purchase of principal residence 24 John Williams Street address (nduding apt. no.) 7 X f address of property securing mortgage is the same as PAYER'S/BORROWER'S address, the box is checked, or the address or description is entered in box 8. imposed on you if the IRS determines that an 1324 Skyewalker Drive underpayment of tax results because you City or town, state or province, country, and ZIP or foreign postal code 8 Address or description of property securing mortgage (see instructions) overstated a deduction for this mortgage interest or for these points, reported in boxes 1 and 6; or because you didn't report the refund of interest (box 4; or because you claimed a nondeductible item. Reno, NV 89501 9 Number of properties securing the 10 Other mortgage Account number (see instructions) Form 1098 (Keep for your records) www.irs.gov/Form1098 Department of the Treasury - Intemal Revenue Service