Comprehensive Problem $2-2$B

Carl Conch and Mary Duval are married and file a joint return. Carl is retired US Army but likes to stay busy, and so he works as a part$-$time baker at the Key Lime Pie Company. Mary is unemployed since losing her job in $2022.$ Carl's birthdate is June $14,1958,$ and Mary's is October $2,1968.$ Carl received a W$-2$ from his employer $($see separate tab$).$

Carl and Mary help support an old Army friend of Carl$$s named Buster Crabbe. Buster is $72$ years old and lives in an over$-55$ community in Key West near Carl and Mary$$s apartment. Buster has a small Social Security benefit of $$6,000$ per year, and so Carl and Mary provide for more than half of his support. Buster$$s birth date is June $12,1951,$ and his Social Security number is $454-11-1719.$

Carl$$s W$-2,1099-$R $($Army pension$),$ and Social Security benefits statement are presented below $($see separate tab$).$

Mary is divorced, and she pays her ex$-$husband $($Tom Tortuga$)$ child support. Pursuant to their January $12,2020,$ divorce decree, Mary pays Tom $$500$ per month in child support. All payments were made on time in $2023.$

In early $2023,$ when Mary was struggling financially due to the loss of her job, she was able to renegotiate her auto loan and had the balance reduced by $$3,800.$ The Form $1099-$C is presented below $($see separate tab$).$

Sadly, in June $2023,$ Mary$$s father passed away. Her father left her $$75,000.$

Mary also received unemployment compensation as shown on Form $1099-$G $($see separate tab$).$

The Key Lime Pie Company provides all employees with a gym on the premises of the pie factory that Carl works at$.$ Carl uses the gym at least three days a week. The value of a similar gym membership would be $$1,200.$

Required:

Complete Carl and Mary's Form $1040$ and Schedule $1$ for $2023.$ The taxpayers had health care coverage the entire year. They do not want to make a contribution to the presidential election campaign. Make any other realistic assumptions about any missing data. If an amount box does not require an entry or the amount is zero, enter $"0".$ Enter all amounts as positive numbers. If required, round amounts to the nearest dollar.