To complete this assignment, read the information below and then complete the 2021 individual Federal income tax return for Kevin and Jim by hand (this means hand written numbers in the forms). You will need the following forms: 1040, Schedules A and B and Form 8283, if necessary. You should use 2021 tax forms and rates (you must use the tax rate tables to find the tax due). Last year they filed as married filing jointly The memo can be in any format and should be less than a page long, but more than a few sentences. This is the type of email or letter that would accompany your final deliverable to the client. You will also need to include some statements that link any calculated amounts in the tax forms to a statement showing what went into the calculation. An example of statements will be provided with the solutions to Assignment 4. FACTS This is information relating to Kevin and Jim Jones for 2021. Kevin and Jim are married and have 2 adopted children, Aubrynne (a girl) and Bryson (a boy). They live at 236 9th Ave., New York, NY 10011 Kevin is a lawyer who works for a law firm. Jim works part time in a genetic research lab. The Jones' Social Security numbers and ages are as follows: Kevin 111-11-1111 32 Jim 222-22-2222 28 Aubrynne 333-33-3333 5 Bryson 444-44-4444 3 Receipts Kevin's salary $100,000 Jim's salary 37,000 Municipal bond interest 2,850 Interest on C.D.s at Universal Savings 3,700 *Qualified dividend on GM stock 1,800 *Qualified dividends should be reported as both qualified and ordinary on the tax forms.

Expenditures Eye exam and eyeglasses for Aubrynne 700 Orthodontic work to correct Bryson's congenital defect 2,350 Medical insurance premiums (paid on an after-tax basis) 2,250 State withholding for income tax 9,750 Federal withholding for income tax 16,000 State income taxes paid with last year's return 650 Property tax on condo 1,200 Ad valorem Property tax on automobile 450 Home mortgage interest 10,900 Interest on credit cards 300 Cash contribution to Oregon Meditation center 4,300 Cash contribution to a senator's campaign 1,600 A charitable donation of stock On September 17, Kevin and Jim donated Beta Trade Inc. stock to Portland State University Accounting Scholarship Fund. Beta Trader, Inc. is publicly traded. Kevin and Jim had purchased the sock on November 7, 2004, for $350. On the date of donation, the fair market value of the contribution is $1000. Miscellaneous The taxpayers did not have signature authority over a foreign bank account. The taxpayers did not receive a distribution from a foreign trust. You do not need to complete any state tax returns. Do not worry about Alternative Minimum Tax (AMT).

Please, show your work.