Tim and Sarah Lawrence are married and file a joint return. Tim’s Social Security number is 123-45-6789, and Sarah’s Social Security number is 111-11-1111. They reside at 100 Olive Lane, Covington, LA 70434. They have two dependent children, Sean and Debra, ages 12 and 16, respectively. Sean’s Social Security number is 123-45-6788, and Debra’s Social Security number is 123-45-6787. Tim is a self-employed businessperson (sole proprietor of an unincorporated business), and Sarah is a corporate executive. Tim has the following income and expenses from his business in 2021. 

Compute the Lawrences’ net Federal income tax payable or refund due for 2021.

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Gross income Business expenses Records related to Sarah's employment provide the following information. Salary Unreimbursed travel expenses (including $200 of meals) Other pertinent information for the tax year includes the following. Proceeds from sale of stock acquired on July 15, 2021 (cost of $12,000), and sold on August 1, 2021 Proceeds from sale of stock acquired on September 18, 2020 (cost of $5,000), and sold on October 5, 2021 Wages paid to full-time domestic worker for housekeeping and child supervision $325,000 201,000 Interest income received Total itemized deductions (not including any potential deductions above) Federal income tax withheld Estimated Federal income tax payments $130,000 1,600 $ 9,800 3,800 10,000 7,000 27,900 28,850 20,000