Comprehensive Problem 7-2A

Steve Jackson (birthdate December 13, 1968) is a single taxpayer living at 3215 Pacific Dr., Apt. B, Pacific Beach, CA 92109. His Social Security number is 465-88-9415. In 2021, Steve's earnings and income tax withholding as laundry attendant of a local hotel are:

Earnings from the Ocean View Hotel	$22,300
Federal income tax withheld	219
State income tax withheld	100

Steve has a daughter, Janet, from a previous marriage. Janet is 11 years old (Social Security number 654-12-6543). Steve provides all Janet's support. Also living with Steve is his younger brother, Reggie (Social Security number 667-21-8998). Reggie, age 47, is unable to care for himself due to a disability. On a reasonably regular basis, Steve has a care giver come to the house to help with Reggie. He uses a company called HomeAid, 456 La Jolla Dr., San Diego, CA 92182 (EIN 17-9876543). Steve made payments of $1,000 to HomeAid in 2021. Janet receives free after-school care provided by the local school district.

Steve made a modest cash donation to local charity in the amount of $50. Steve received a $4,200 EIP and $1,500 in advance child tax credit payments in 2021.

Required: Complete Steve's federal tax return for 2021. Use Form 1040, Schedule 3, Form 2441, Child Tax Credit Worksheet, Form 8812, EITC Worksheet A, and Schedule EIC.

• Make realistic assumptions about any missing data.
• Steve had health care coverage for the entire year. He does not want to make a contribution to the presidential election campaign.
• Enter all amounts as positive numbers.
• If an amount box does not require an entry or the answer is zero, enter "0".
• If required round any dollar amount to the nearest dollar.