Client Information:

Travaris Johnson

Filing Status: Single

$1040$ Income Streams: Steel Mill Worker

$1040$ Deductions: Charitable contributions, deductible taxes, state and local tax deduction limit$,$ sales tax, miscellaneous expenses

Directions

Specifically, you must address the following rubric criteria:

Explain the federal tax law sources used in each of the prepared tax returns. Include the following:

IRC code

Tax tables

$1-2$ slides

Speaker notes

Explain the filing requirements for the tax position taken in each of the prepared tax returns. Include the following:

Filing status

Qualifying dependents$/$relatives claimed, if applicable

$1-2$ slides

Speaker notes

Explain taxable and non$-$taxable income. Consider the following:

Taxable sources of income

Profiles with non$-$taxable income

Non$-$taxable income qualifications

Reporting of non$-$taxable income

$1-2$ slides

Speaker notes

Justify deductions taken in each of the prepared tax returns. Consider the following:

Standard versus itemized deductions

Deductions taken on prepared returns

$1-2$ slides

Speaker notes

Evaluate tax credits applied in each of the prepared tax returns. Consider the following:

Applicable credits taken

$1-2$ slides

Speaker notes

Describe client profiles to assist with tax planning preparations. Include the following:

High$-$level points from the profile$($s$)$ to determine clients$$ goals

Relevant factors that could impact the tax planning process

$1$ slide

Speaker notes

Identify research necessary to find applicable tax planning solutions for the clients in each scenario. Include the following:

Methods for assessing the client's tax situation for future tax planning

Sources applicable to tax year in question to answer tax questions for the client$$s scenario

Income limitations $($i$.$e$.,$ earned income, income thresholds$)$

Decisions for any dependents

$1$ slide

Speaker notes

Describe the difference between tax avoidance and tax evasion in addressing the client profiles. Include the following:

How tax planning can help reduce tax liability in a legal way

What would be considered tax evasion

$1$ slide

Speaker notes

Evaluate benefits of tax planning for the clients. Include the following:

How to minimize tax liability to improve clients' future tax situation

$1$ slide

Speaker notes

Create tax planning recommendations based on client profiles. Include the following:

Steps that will improve tax position based on each client's goals $($i$.$e$.,$ applicable tax planning solutions$)$

Suggestions of how clients can do their taxes differently over the coming year to achieve their goals $($i$.$e$.,$ changes that could be made to implement a tax planning strategy not currently applicable$)$

Examples of how clients can improve tax position for the upcoming year

$2-4$ slides

Speaker notes