Prepare a partnership tax return. See data below. You will need the following forms:

• Form 1065 and corresponding schedules
• Schedule K-1 for Dr. Bailey (from problem C9-58)
• For the Schedule K-1. The filing center is Ogden, Utah.

Individual taxpayer information

Individual tax forms required:

• Form 1040
• Schedule A
• Schedule B
• Schedule D
• Schedule E
• Form 8949
• Form 4797 (see item 4.i. below)

1. Dr. Leisa Baileys social security number is 456-12-3789. She is married but does not have any dependents. Her husbands name is Daniel Bailey and his social security number is 123-45-6789.

2. Additional information to complete the tax returns:

1. Daniel works at Intel Corporation and earned $160,000 during 2017.
2. His federal tax withholding was $30,000 and his Arizona income taxes withheld were $8,000. Leisa made federal estimated tax payments of $40,000 and Arizona estimated payments of $9,500

3. Mortgage interest on their personal residence was $15,200 and property taxes were $5,150.

Additional charitable contributions of $2,750 were paid during the year.

4. On July 10, 2017 they sold 100 shares of Intel Corporation stock for $70 per share. They purchased the stock on May 1, 2012 for $56 per share.
5. The Taxpayers have a long-term capital loss carry forward of $5,000.
6. Assume AMT does not apply.
7. Apply any refund to estimated tax payments for the next year.
8. Instead of preparing Form 4797, input any gain/loss from the Sec. 1231 asset on line 14 of form 1040.