Tax Forms Problem

Beth R$.$ Jordan, CPA, MST$,$ lives at $2322$ Skyview Road, Mesa, AZ $85201.$ She is a tax accountant with Mesa Manufacturing Company, $1203$ Western Avenue, Mesa, AZ $85201($employer identification number $11-1111111).$ She also writes computer software programs for tax practitioners and has a part$-$time tax practice. Beth is single and has no dependents. Beth was born on July $4,1988,$ and her Social Security number is $123-45-6785.$ She owns a fraction of a bitcoin which she held for all of $2023($no transactions$).$ Beth wants to contribute $$3$ to the Presidential Election Campaign Fund.

The following information is shown on Beth$$s Wage and Tax Statement $($Form W$2)$ for $2023$:

Line Description$$ Amount$$

$1$ Wages, tips, other compensation $$95,000\mathrm{.}00$

$2$ Federal income tax withheld $$15,500\mathrm{.}00$

$3$ Social Security wages $$95,000\mathrm{.}00$

$4$ Social Security tax withheld $$5,890\mathrm{.}00$

$5$ Medicare wages and tips $$95,000\mathrm{.}00$

$6$ Medicare tax withheld $$1,377\mathrm{.}50$

$15$ State Arizona$$

$16$ State wages, tips, etc. $$95,000\mathrm{.}00$

$17$ State income tax withheld $$3,954\mathrm{.}00$

During the year, Beth received interest of $$300$ from Arizona Federal Savings and Loan and $$40$ from Arizona State Bank. Each financial institution reported the interest income on a Form $1099$INT$.$ She received qualified dividends of $$800$ from Blue Corporation, $$750$ from Green Corporation, and $$650$ from Orange Corporation. Each corporation reported Beth$$s dividend payments on a Form $1099$DIV$.$

Beth received a $$1,100$ income tax refund from the state of Arizona on April $29,2023.$ On her $2022$ Federal income tax return, she used the standard deduction.

Fees earned from her part$-$time tax practice in $2023$ totaled $$7,800.$ She paid $$600$ to have the tax returns processed by a computerized tax return service.

On February $8,2023,$ Beth bought $500$ shares of Gray Corporation common stock for $$17\mathrm{.}60$ a share. On September $12,2023,$ Beth sold the stock for $$14$ a share.

On January $2,2023,$ Beth acquired $100$ shares of Blue Corporation common stock for $$30$ a share. She sold the stock on December $19,2023,$ for $$55$ a share. Both stock transactions were reported to Beth on Form $1099$B; basis was not reported to the IRS.

Beth bought a used sport utility vehicle for $$6,000$ on June $5,2023.$ She purchased the vehicle from her brother$-$in$-$law, who was unemployed and was in need of cash. On November $2,2023,$ she sold the vehicle to a friend for $$6,500.$

During the year, Beth records revenues of $$26,000$ from the sale of a software program she developed. Beth incurred the following expenses in connection with her software development business:

Cost of personal computer $$7,000$

Cost of printer $$2,000$

Furniture $$3,000$

Supplies $$650$

Fee paid to computer consultant $$3,500$

Beth elected to expense the maximum portion of the cost of the computer, printer, and furniture allowed under the provisions of $179.$ These items were placed in service on January $15,2023,$ and used $100\%$ in her business.

Although her employer suggested that Beth attend an in$-$person conference on current developments in corporate taxation, Beth was not reimbursed for the travel expenses of $$1,420$ she incurred in attending the meeting. The $$1,420$ included $$200$ for the cost of meals.

During the year, Beth paid $$300$ for prescription medicines and $$2,875$ for doctor bills and hospital bills. Medical insurance premiums were paid by her employer. Beth paid real property taxes of $$1,766$ on her home. Interest on her home mortgage $($Valley National Bank$)$ was $$3,845,$ and credit card interest was $$320.$ Beth contributed $$2,080$ in cash to various qualifying charities during the year. Professional dues and subscriptions totaled $$350.$

Beth wants to reduce her carbon footprint. In $2023,$ she paid $$500$ to a qualified home energy auditor for a home energy audit. She received a written report that identifies significant energy efficient improvements she can make to her home.

Beth paid estimated taxes of $$1,000.$

Question $1$Tax Computation

Compute Beth Jordan$$s $2023$ Federal income tax payable $($or refund due$),$ and complete her $2023$ tax return using appropriate forms $1040,8949,8995,4562,$ and schedules $1,2,$ A$,$ B$,$ C$,$ D$,$ S$/$E and worksheet for line $16$