1. Andrea Mitchell is single and has two children from her previous marriage. Aria Mitchell lives with Andrea, and Andrea provides more than half of her support. Gabriel Mitchell lives with his father, John Mitchell (Gabriel lived with John for all of 2022). John provides more than half of Gabriels support. Andrea is not sure what her filing status is. Andrea provides you with the following additional information:

• She uses the cash method of accounting and a calendar year for reporting.
• She wishes to contribute to the presidential election campaign.
• Andrea lives at 523 Essex Street, Bangor, Maine 04401.
• Andreas birthday is May 31, 1982.
• Arias birthday is October 5, 2011.
• Gabriels birthday is December 1, 2009.
• Andreas Social Security number is 454-99-4757.
• Arias Social Security number is 005-99-7262.
• Gabriels Social Security number is 004-99-3449.
• Johns Social Security number is 006-99-6363.
• She does not have any foreign bank accounts or trusts.

1. Andrea is employed as an IT manager with Signal Systems, Inc. (SSI). The address of her employer is 1 Atom Lane, Bangor, ME 04401. SSIs federal employer identification number is 26-9999818. Andreas pay stubs indicate that she had $8,350 withheld in federal taxes (W-2 Box 2) and $5,500 in state taxes (Box 17). Allow the program to automatically calculate Social Security and Medicare taxes.
2. Andrea earned salary of $105,000 [before subtracting her 401(k) and flexible spending plan contributions]. She contributed $10,500 to her 401(k) account, and she contributed $3,400 to her healthcare savings account.
3. SSI paid health club dues of $1,320 to a nearby health club on Andreas behalf.
4. Taking advantage of SSIs educational assistance program, during the fall Andrea enrolled in a graduate engineering class at a local college. SSI paid her tuition, fees, and other course-related costs of $2,320.
5. Andrea received free parking in the companys security garage (considered qualified parking) that would normally cost $220 per month.
6. Andrea manages the cyber security program for SSI. In recognition of her superior handling of three potential crises during the year, Andrea was awarded the Employee Greatness Award on December 15. The cash award was $800.
7. On January 15, 2022, Andreas father died. From her fathers estate, she received stock valued at $38,000 (his basis was $19,000) and her fathers house valued at $150,000 (his basis in the house was $95,000).
8. Andrea owns several other investments and in February 2023 received a statement from her brokerage firm reporting the interest and dividends earned on the investments for 2022. (See Exhibit A

EXHIBIT A Forms 1099 and 1098

This is important tax information and is being furnished to the Internal Revenue Service.

***Note that a 1098 reports how much interest was paid on a mortgage by the taxpayer. See #15 for more information on these payments.

1. Andrea received a Form 1099-B from her broker for the sale of the following securities during 2022. The adjusted basis amounts were reported to the IRS.

Security	Sales Date	Purchase Date	Sales Price	Her Basis
New Jersey Dev.bonds (5 bonds)	06/14/2022	10/22/2015	$10,800	$11,400
Cassill Corp (500 shares)	10/20/2022	02/19/2019	22,000	18,750

1. In addition to the taxes withheld from her salary, Andrea also made timely estimated federal tax payments (each paid on the due date) of $800 per quarter and timely estimated state income tax payments of $200 for the first three quarters. The $200 fourth-quarter state payment was made on December 31, 2022. Andrea would like to receive a refund for any overpayment.
2. Andrea paid $4,800 in real estate taxes on her principal residence. The real estate tax is used to pay for town schools and other municipal services.
3. Andrea drives a 2019 Acura TL. Her car registration fee (based on the car year) is $65 and covers the period 1/1/2022 through 12/31/2022.

1. Andrea incurred the following unreimbursed medical costs:

Dentist	$ 450
Doctor	950
Prescription drugs	250
Over-the-counter drugs	40
Optometrist	670
Emergency room charges	1,365
LASIK eye surgery	4,500
Chiropractor	825

1. On March 1, Andrea purchased a new home with a $175,000 home mortgage. The new home loan is for 15 years. She paid $215 in closing costs and $1,500 in points (prepaid interest) to obtain the loan. In August, she also obtained a $10,000 home-equity loan. She used the proceeds from the home-equity loan to reduce the balance due on her credit cards. Andrea received several Form 1098 statements from her bank for interest paid by her in 2022. Details appear below. (Note: the mortgage interest and the home equity loan interest were already shown in Exhibit A. The points paid were not included on the Form 1098)

Primary home mortgage interest paid	$7,100
Home-equity loan interest paid	435
Credit cards interest paid	498
Car loan interest paid	390

1. On May 14, 2022, Andrea contributed several items of furniture in good condition to the Salvation Army. The original cost of the furniture was $12,000 and she originally purchased it in January of 2006. She has substantiation valuing the donation at $4,500. The Salvation Army is located at 350 Stone Ridge Road, Bangor, Maine 04401. In addition, she made the following cash contributions and received a statement from each of the following qualified 501(c)(3) organizations acknowledging her contribution:

St. Marys College	$3,500
United Way	800
First Methodist Church	1,300
Amos House (homeless shelter)	500

1. Andrea has an IT consulting business that she does in the evening and on weekends. She runs her business from a small office space she rents. The address is 242 Main St., Bangor, ME 04401. The name of her business is Mitchell Consulting and the federal identification number is 05-8799591. The business uses a cash basis and Andrea filed all of the appropriate 1099s required for her business. Andrea has been operating her business since 2009 and has always shown a profit. She had the following income and expenses from her business:

Gross receipts	$42,750
Expenses:
Advertising	1,900
Insurance	1,800
Accounting	3,700
Business license	500
Building Rent	10,500
Utilities	2,000

1. Andrea divorced John in 2016 and the settlement was dated 06/15/2016. Under this agreement, Andrea paid John alimony of $8,600 in 2022 and $9,500 in child support payments. John Mitchells social security number is 006-99-6363.
2. Andrea did not buy, sell, exchange, or otherwise acquire any financial interest in a virtual currency.
3. When running final diagnostics under Check Return, you can ignore any errors referring to e-filing (even if it says you cannot ignore the error), paid preparer, Third Party designee, or the Maine return.

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1099-Div Dividends & Distributions Entity Description Amount General Dynamics Gross qualified dividends $300 1099-Int Interest Entity Description Amount New Jersey Economic Development bonds Gross interest $300 IBM bonds Gross interest 700 State of Nebraska bonds Gross interest 700 1098-Mortgage Interest Statement Entity Description Amount Sunbelt Credit Union Mortgage interest $7,100 Northeast Bank Home-equity loan interest 435 1099-Div Dividends & Distributions Entity Description Amount General Dynamics Gross qualified dividends $300 1099-Int Interest Entity Description Amount New Jersey Economic Development bonds Gross interest $300 IBM bonds Gross interest 700 State of Nebraska bonds Gross interest 700 1098-Mortgage Interest Statement Entity Description Amount Sunbelt Credit Union Mortgage interest $7,100 Northeast Bank Home-equity loan interest 435