Tax Return 1, Fall 2023

Please complete a 2020 Form 1040 and accompanying forms and schedules for Matteo using 2022 forms:

Matteo Franco is not married and supports their 12-year-old child who lives with them. Matteo works as a self-employed driver with gross revenue of $69,700 and business expenses of $11,400 (make-up the classification of the expenses, e.g., supplies). Matteos only other income was interest of $2,300, qualifying dividends of $2,150, and other information follows:

Contribution to solo Section 401(k) retirement plan $ 3,900 Loss on sale of Alphatech stock held 2 years -3,100 Mortgage interest on primary residence 9,950 State and local property tax on residence 5,350 Property tax included in personal auto registration 260 State sales taxes paid 370 State income taxes paid 1,450 Charitable contributions of cash 1,750 Political contributions 550

Three comments that might help: Qualified dividends are included in ordinary dividends on the form 1040. You are not required to complete the Schedule D Worksheet. Just consult the last example in drnos Capital Gain calcs 2023.ppt to calculate the tax. Claim the QBI deduction on the appropriate line of the Form 1040, but no additional form is required.