The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 17.
Question:
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 17. Ivan sold the following securities during the year and received a Form 1099B that showed the following information:
The selling price given is net of sales commissions. In addition to the above amounts, the Mango mutual fund distributed a longterm capital gain of $750 on December 30, 2012.
Ivan purchased 5 acres of raw land in Reno, NV, 10 years ago. His basis in the land was $50,000. On August 1, 2012, he sold the land for $150,000 on the installment method. Ivan received $30,000 in the year of sale, and the balance was payable at $12,000 per year for the next 10 years, plus a market rate of interest.
On May 15, 2012, Ivan and Irene sold their personal residence for $585,000 and purchased a new house for $725,000. They had owned the old house for 20 years and it had an adjusted basis of $35,000. The house had been their personal residence for all the years they were married. They moved into the new house on May 18, 2012.
Required:
Combine this new information about the Incisor family with the information from Chapters 17 and complete a revised 2012 tax return for Ivan and Irene. No AMT is payable. This completes the Group 5 multichapter case.
Date Sdling Adjnusted Saurity uiral Dte Sold PriceB Orange, Inc. 100 Shares Common 0211 04/16/12 $3,000 2,150 Banana, Inc. Grape, Corp. 100 Shares Preferred 0 025/12 9,975 10,430 Plum, Inc. Peach Mutual Fund 5,010.150 Shares 05/3004 10/22/12 60,120 56,480 100 Shares Common 07/179 07/31/12 1,950 4210 5 Bonds due 4/2015 12/3003 01/02/12 5,130 5,320 1040u U1 InTar tur 2011 Faing Status Check only one3Ma 2 □ Mario绉sgiorvey fover, if or@p one rod mome Enter sou'SN 8a Taable iist.tach Schedule B i quired Crdinary dividends, Nmch Shedule B required 10 Taxable Altach b Tasible Enclose, but do Fann noone or h Scheduie F Adjusted b1 102 savings accoun Moving aspers Tax and A spuso was torn bofore January 2, 1947, Bind ค0kad 390 hembed deductions on Schedue or your standard deduation et mgi then ine 41, eer 47 Foreign tea oodit. Atch Form t1% il mand [ducation credits from Fam lin 23 Maried Sing Retiement savings conibuions credit. Aach Forn 8880 0 3 Redcentln Other amplbymentch Taxes 7 Unneported socisl security and Medicare tax from Far4137919 Adonal an Housahald employment tase ron Payments 2 Fudanal incona tas wifhiheld fham Farma W2 and a00 4 Earned income eredi JEIC t Arach Fom 8812 American opportunity credit fom Fam D 14 Amount with requeor Credit lor ach Fom 4136 nd 85 through 1.Thee Ma Amount ofine 73 you want refunded so you Form 8888 is artached, chack here You Owe Third Party Itemized Deductions SCHEDULE A Form 1040) 2011* Caution. Do not inelude paneas rimburaed or paid by othars Medical and dental axparees fsee instructions) 2 Enter amount trom Fom 1040, ine 38 3 Multipty line 2 by 7.5% C075) 4Subtract ine 3 from ine 1, If ine 3 is more than ine 1, enter Taxes You ate and loca (check only one box aIncome taxea, or I sales taes 6 7 Real estate taxes set instrutons) Personal property taxes 0 Home mertgage imarest and paints neported to you on Fom 108 10 You Paid11 Home mortgage interest not raported to you on Form 1098. paid to the persan from whom you bought the home, instructions and show thot person's name, identtying no, and addhess be miled 12 Ponts not reported to you on Form 1098. See instructions for special ruies 13 Mortgage insurance premums Isee Instructione) Imeetment intereet. Altach Form 4862 if required. Bee inetructone) 15 Add ines 10 Gifts to16 Gits by cash ar check. If you mace any git of $250 or more, coo instructions Other than by nstructions. You must attach Form 8283 t ower $800 Carryover rom prior year if you made a 17 cach or check. any gift of $250 ar more, see bereft to t 18 Theft Lesses Jeb ExpensoS 21 Unreimbursedemployee esjob tvel, union dues and Certain job education, etc. A tach Form 2106 or 2106EZ 붙 required Deuctions 22 Tax preparstion ee 23 Other expensesInvestment sate deposit box, ec. List type 24 Add Ines 21 through 23 25 Enter aount from Form 1040, ne 38 2 26 Md'ply ine 25 by 2% 1.021 28 Otherfrom liat in instuctions. List type and amount Total 29 Add the amounts in the far right column for ines 4 frough 28. Also, ortar this entou e an Form 1040, ine40 Deductions 30 you elect ba hemin deductiaris ดver, theugh ilwy arg lesa than your standard on, check here No 171 Form 1040A or 1040 Interest and Ordinary Dividends 12 com 1 Part I 1Ust name of payer. any interest is from a seler4nanoed mortpape and the Interest used the yas a personal resicencs, this iarce firat. Also show that bryer's social security umber and adcass and l instructions on back NT. Fom narw aatte 2 Add the armounts on linú 1 Fom85,eres EE Part II Notn 6 Add the amouts on line 5. Enter the total here and on Form 1040A or Fom Nots, If line 6is oer 51500,you mut com plate Pyt You must complebe this part if you (had over $1.500 of taoable interest or andinary dividends; (h) had a oreign account: or () reheddtribion from, or wereagrartior ot,or a trareleror to, a forign truat. Yes No Part IlI Foreign 7a At any Sme during 2012, did you have a financial intarest in or signature authority oeer a financial aocount (such as a bank account, securiies account, or brokerage account located in a foreign country? 588 inuetion H"Yeare you requined to fie Form TD F9022.1 to report that inancial inet or signatue authority? 9ee Fom TO F 90221 and its instructions for fing requirements and exoeptions to and Trusts byou ane required to fie Form TD F 9022.1, emer the name of the toreign country where the is located 8 During 2012, did you receve a dist bution hom, or were you the grantor of, or transferor to, a trust? H "Y For Paerwork Reduation Aot Notice See inetructions on bock SCHEDULE D Form 1040) Capital Gains and Losses ARach to Form 1040 or Fom 1040NR Seo Instructions for Schedule Rrm 10o PUse Form 843 0 ist your transactions for ines 1,2,3, 8 , and 10. PartI ShortTerm Capital Gains and LossesAssets Held One Year or Less Complute Farm 8049 balore oornpiatingǐ 1, 2, or 3. This fom may be easler to oomplete if you round off cents to 2 Shortterm totals from all Forms 8949 wth box B 3 sortterm totals from a Forms 0949 with box C 4 Bnorttarm gain fsam Form 6252 and shortlerm gain or (losa)from Formes 4884, 6781, and 8824 Net shortterm gain or oss) from partnerships, S oorporations, estates, and trusts from Schedule s) K1 6 sortterm capital leas caryover. Enter the arrouant, if any, from lino 8 of your Captai Loss Carryover Worksheet in the instructions 7 Net shortterm capital gain or Oassh Combine lines 1 thengh 6 in oolumn lf you hBA" any Part II LongTerm Capital Gains and LossesAssets Held More Than One Year Complete Form 8949 belone complating line 89, or 10 This tom may be easler to complete if you round off cents toF 8 Longtorm totals 1som all Foms 8249 with box A in Part 9 Longterm totals from all Forms 8949 wih box B checked in Part 10 Longtarm totals tom all Foms 8049 with box C checked in Part 11 Gain from Form 4797, Part t longterm gain from Foms 2439 and 6252; and longterm gain or loas from Forma 4884, 6781, and 8824 2 Net longtem gain or os trom partnenships,S corporationsestates, and trusts trom Schedule1 12 13 Captal gsin distributions, See the inetructions 14 Longterm capital cas camyover. Enter the amount, ir any, from ine 13 of your Capital Loss Carryover Worksheet in the instructions 15 Net longtenm capital gain or 0oss. Combine Ines B through 14 in column (hi Then go to Part IIl on 1G Combine lines 7 and 15 and enter the result elf li ฉ 16ǐฉ again, anar tamourn from line 18 on Form 104a į ฉ 13, α Form 1040R, ine 14. Than ge to ine 17 below. It Ine 16 is a loss,skip lnes 17 through 20 below. Then go to line 21. Nso be sure to complete If ine 16 is zero, skip lines 17 through 21 below and enter 0 on Form 1040, ine 13 or Form 1040NR Ine 14. Then go to line 22 7 Ara lines 15 and 16 both gaine? Yes. Go to ine 18. No. Skip ines 18 through 21, and go to line 22. Enter the amount, If amy, from line 7 of the 28% Rate Gain Worksheet in the instructions 19 Enber the amount, if any, fom line 18 of the Unreoaptured Seotion 1260 Gain Worksheet in the 20 Are Iines 18 and 19 both zero or blank? Yes, Complete Form 1040 through ine 43,0r Form 1040NA through ine 41. Thencomplete the Quaified Dividends and Gapital Gain Tax Worksheet in the inetructions for Form 1040 line 44 or in the insbuctions for Form 1040NR, ine 42). Do not complobe ines 21 and 22 balow No. Complete Form 1040 through Iine 43, or Form 1040NR through ine 41. Then complebe the Schedule D Tax Worksheet in the instrucions. Do not complate Ines 21 and 22 below 21 #1ne 16 isa los8. wier here ส d on Form 1040, ine 13, or Form 1040NI, ine 14, the smaller of: 21 53,000 or iH maried fiing separaely, $1,500) Note. When figuring which amount is amaler, treat both amounts as positive numbera 22 Do you have quaifed divicdends on Form 1040 ine ,or Fom 1040NR, ine 10 ם Yes. Complete Form 1040 through ine 43, or Form 1040R through ine 41. Then complete the Qualified Dividends and Capital Gain Tax Worksheet in the inetrctions for Form 1040 line 44 (or In the instructione for Form 1040NA, line 42 No. Complete the rest of Form 1040 or Farm 1040NR 8949 Sales and Other Dispositions of Capital Assets 2011* Seo Inatructiona for Schodule D Farm 1040 o Schadule D to your tranenctions for PartIShortTerm Capital Gains and LossesAssets Held One Year or Less Notec You must check one of the booees below. Complete sewate Form 8948, page 1 , for oach box that decked. Caution. Do net complate column (or (go until you have eac the insbructiona for those olumns(aee the Instrucsona for Schadula O fForm 10400 Columns b and l do not apply for most transacions and should generaly be lelt blank, )Shortborm trareactione repared on B Shortlerm transacfions reported on FomC Shortberm transsctions for which amounts in column (Enterhare and inclde on Bhodie D, ine 1 bok A above is checkedL line2b B above is chached, er line 3 Part II LongTerm Capital Gains and LossesAssets Held More Than One Year Note: You must check one of the bowebelow. ompletea parae Fompage 2, for esch box that is checked Caution.Do not com plete column o (gi unti you have read the instructions for hose columns e the Instructiones for Schecule D (Form 1040 Columns b) and [ai do not apply for most trarsactions and shouid generally be let blank □ A Lor term ta co ons reported on (B Longterm transactions reported on Fonn (C Long term transactions for which Form 1099 B with banis roportad to the RS 10998 but basis not reported to the IRS cnnt heck box 4 Totals. Add the amouts in columns () and . Also, oombine the amounts in column, Erler here and include on Schedule D line & f Qualified Dividends and Capital Gain Tax WorksheetLine 44 Keep for Your Reconds Before you begin: See the instructions for line 44 on page 35 to see if you can use this worksheet to figure your ノ ryou do nol have to file Schedule D and you receivod eapital gain distributions, he sure you checked the box on line 13 of Form 1040 1. Enter the amount from Form 1040, line 43. However, if you are filling Form 2555 or 2555E(nelg to foreign carne 3 of the worksheet on page 36 ald income), enter the amount from line 2 Ester the amoust from Form 1040, line 9h &Are you filing Schedule D? Yes, Ealer the smaller of line 15 or 16 or Schedule D. If either line 15 or line 16 is a loss, eter No. Enter the amount from Form 1040, line 13 t Adld lines 2 and 3 5. If tiling Form 4952(used so figure investment inierest espense doduction ), enter any amount from lite 4g of that fom. Oherwise, enter0 6 Subtract line 5 from line 4. If zero or less, emer 0 Subtract line 6 from line 1. If zero or less, enter0 R Emer $35,350 if single or mariod filing separalcly $70700 if married illing jointly or qualifying widowfer $47,350 if head of household. 9. Ester the smaller of lise 1 oe line 10. Enter the smaller of line 7 or line9 11. Suhtrict line 10 from line 9. This amount ii used alos 12. Enter the smaller of line 1 or line 6 13. Enter the amount from line 11 14. Subtract line 13 from line 12 15. Mukiply lin, 14 by 15% (.15) 16. Flgure the tas on the amount on line 7. If the amount on line 7 is less than $100,000, use the Ta 10. 14 15, Table to figure this tax. If the anount on lite 7 is $100,000 or more, use the Tas Computation Workshee 16, 17. Add lines 15 ad 16 18. Figure the tax on the amount on line 1. If the amount on line 1 is less than $100,000, use the Ta Table to figure this tax. If the amoum on line 1 is $100,000 or more, use the Tax Computation Workshee 1N. 19. Tax on alll taxable income. Enter the smaller of line 17 or line 18. Also inclade this amount on Forms 1000, line 44. ir you are filing Fonn 2553 or 2355EZ, do not enter this amount on Foem 1040, line 44. Instead, enter i on line 4 ofthw worksheel on pigs 36 19, U.S. Individual Income Tax Return Filing Status ssng﹄ Check only one3Ma Enter sou'SN 8a Taable iist.tach Schedule B i quired Crdinary dividends, Nmch Shedule B required local incone Nina neceved Conbine the Adjusted savings accoun Mowing aspere real daduction a 11 Так and 38 Amount hembed deductions on Schedue or your standard deduation et mgi 47 Foreign tea gast. Atach Form t1% il mand [ducation credits from Fam lin 23 Maried Sing Retiement savings conibuions credit. Aach Forn 8880 0 Other amplbymentch Taxes 7 Unneported socisl security and Medicare tax from Far4137919 Adstonal oan Housahald employment tase fon Payments 62 Fudni nonu taa withed ham Furmowa and 1000 4 Earned income eredi JEIC with reque or Credit lor lach Fom 4 nd 85 through 1.Thee Ma Amount ofine 73 you want refunded so you Form 8888 is artached, chack here You Owe Third Party Use Only Itemized Deductions SCHEDULE A Form 1040) 2011* Caution. Do not inelude spareas imburad or paid by othars Medical and Medical and dental axparees fsee instructions) 2 Enter amount trom Fom 1040, ine 38 3 Multipty line 2 by 75% [.075 4Subtract ine 3 from ine 1, If ine 3 is more than ine 1, enter Taxes You ate and loca (check only one box Paid ฉ income taas, or I sales taes 6 Real estate taves (see instructions) 7 Personal property taxes 0 Home mertgage imarest and paints neported to you on Fom 108 10 You Paid 11Homemortgage interest not raported to you on Form 1098 paid to the person trom whom you boughe the home, see instructions and show thot person's name, identtying no, and addhess our mangege b mied12 Points not reported to you on Fom 1098. See instructions for special ruies 13 Mortgage insurance premums Isee Instructione) 14 meetment intereet Altach Form 4962 if required. Bee instructione) Gifts to Charity if you made a 17 Other than by cach or check. any gift of $250 ar more, see gth and oat a beneft tor t. 8 Carryover from prior yeer 6 Gits by cash or check. If you made any git of $250 or more, coo instructions nstructions. You must attach Form 8283 t ower $800 18 Theft Lesses Job Expenses 21 Uneimbursed enployee espensesjab 1tgee, union dueo and Certain Miscellaneous See instructions) Deuctions 22 Tax preparstion ee job education, etc. Aach Form 2108 or 2106EZ required 23 Other expensesInvestment sate deposit box, ec. List type 24 Add Ines 21 through 23 25 Enter amount Irom Form 1040, ine 30 25 26 MUIply ine 25 by 2% 1.021 28 Otherfrom liat in instuctions. List type and amount 29 Add tha amounts in the far right column for insa 4 frough 28. Also, orter this anount an Form 1040, ine40 Deductions 30 you elect ba hemize deductions ดเฒ, thagh ilwy arg lesa than your standard on, check here Interest and Ordinary Dividends com 1 Part I 1Ust name of payer. any interest is from a seler4nanoed mortpape and the bayer used the property as s personal esidenps, see instructions on back and this mierint fial. Alsa, show that burer's social sicurity fun ber and add Interest instructions 040A or NT, Fom 10990ID, or narw แ, tre 2 Add the armounts on ine 1 Form 8815 Part II Intructiors 0 uAdd the amourts on ine 5. Emter the total here and on Form 1040A or Form on tht fom You must complete this part if you。쟈red over $1,500 of taxable mmet or odnary dimena; 00 had Yes No Part IlI 7a At any Sme during 2012, did you have a financial intarest in or signature authority oeer a financial aocount (such as a bank account, securiies account, or brokerage account located in a foreign HYes are you requied to ie Fom TO F9022.1 to report that inancial et or signatue authority? 9ee Fom TO F 90221 and its instructions for fing requirements and exoeptions to those requirements and Trusts nshuchiora onb you ane required to fle Fom TD F 9022.1, eter the name of the toreign country where the s located 8 Duning 2012, dd you receive a dist bution trom, or were you the grantor of, or transferor to, a e form 3520 See inetructions on back SCHEDULE D Form 1040) Capital Gains and Losses ..mach to Form 1040or Fom 1040NR Seo Instructions for Schedule Rrm 10o PUse Form 843 0 ist your transactions for ines 1,2,3, 8 , and 10. PartI ShortTerm Capital Gains and LossesAssets Held One Year or Less Complate Fam 8040 belone complating lie 1,2, or This form may be easier to complete If you round off cents to Foe s whole dollars 1 Snottarm totals from all Forms 8049 with box 2 Shortterm totals from all Forms 8949 wth box B 3 sortterm lotats from a Forms 0949 with box C checked in Part 4 Bnorttarm gain fsam Form 6252 and shortlerm gain or (losa)from Formes 4884, 6781, and 8824 Net shortterm gain or oss) from partnerships, S oorporations, estates, and trusts from Schedulels) K1 sortterm capital 1088 caryover. Enter the arrouant, if any, from lino 8 of your Captai Loss Carryover 6 7 Net shortlerm capital gain or (oss. Combine ines 1 through 6 in column P If you have ay B or loo303, to Parl below. Oherwise. ge Part I. on back Part II LongTerm Capital Gains and LossesAssets Held More Than One Year Complete Form 8949 belone complating line 89, or 10 This form may be easier to complete if you round off cents toe 8 Longtorm totals 1som all Foms 8249 with box A 9 Longterm totals from all Forms 8949 wih box B checked in Part 10 Longtarm totals tom all Foms 8049 with box C checked in Part 11 Gain fram Form 4797, Part t long term gain from Foms 2439 and 6252; and longterm gain or oas from Forma 4884, 6781, and 8824 12 Net longterm gain or Oos뗘 ton partnerei ps, s oorporations, estates, and trusts tom Schedule㈱ K1 13 Captal gsin distributions, See the inetructions 12 14 Longterm capital cas camyover. Enter the amount, ir any, from ine 13 of your Capital Loss Carryover Worksheet in the instructions 15 Net longtenm capital gain or 0oss. Combine Ines B through 14 in column (hi Then go to Part IIl on 1G Combine lines 7 and 15 and enter the result *If li ฉ 16iaegain, arner tire anoum from line 18 on Form 104a і ฉ 13, or Form 1040R, line 14. Than ge to ine 17 below. It Ine 16 is a loss,skip lnes 17 through 20 below. Then go to line 21. Nso be sure to complete If ine 16 is zero, skip lines 17 through 21 below and enter 0 on Form 1040, ine 13 or Form 1040NR Ine 14. Then go to line 22 7 Ara lines 15 and 16 both gaine? Yes. Go to ine 18. No. Skip ines 18 through 21, and go to line 22. 18 Enter the amount. if any, from lin 7ofte 20% Rate Gain worksheet in the instrucions 19 Enber the amount, if any, fom line 18 of the Unreoaptured Seotion 1260 Gain Worksheet in the 20 Are Iines 18 and 19 both zero or blank? □ Yes. Complete Form 1040 through ine 43,0r Form 1040NA through ine 41 . Then complete the Quaified Dividends and Gapital Gain Tax Worksheet in the inetructions for Form 1040 line 44 or in the insbuctions for Form 1040NR, ine 42). Do not complobe ines 21 and 22 balow No. Complete Form 1040 through Iine 43, or Form 1040NR through ine 41. Then complebe the Schedule D Tax Worksheet in the instrucions. Do not complate Ines 21 and 22 below 매 ine 16 i$ 8 toe erter here and on Form 1040, ine 13, or Form 1040NR, ine 14, the smaller of 21 53,000 or iH maried fiing separaely, $1,500) Note. When figuring which amount is amaler, treat both amounts as positive numbera 22 Do you have quaifed divicdends on Form 1040 ine ,or Fom 1040NR, ine 10 ם Yes. Complete Form 1040 through in" 43, or Form 1040R trough ine 41 . Then complete the Qualifed Dividends and Capital Gain Tax Worksheet in the inetructions for Form 1040 line 44 (or In the instructione for Form 1040NA, line 42 Nn Complete therest of Form 1040 or Fom 1040NR. 8949 Sales and Other Dispositions of Capital Assets o.15480T ee Inatructions for Schodule D 2011* For more information atout Form 8946, see www.hspovnorwes49 o Schadule D to ShortTerm Capital Gains and LoasesAsseta Held One Year or Less Notec You must check one of the booees below. Complete seprate Form 8948, page 1 , for oach box that checked. Caution. Do net complate column (or (go until you have eac the insbructiona for those olumns(aee the Instrucsona for Schadula O fForm 10400 Columns and (l do not apply for most transacons and should generaly be let blank A) Shortterm trareactierensp oried on D IB) Shortterm tansact ore reported on Formロ(C衤Shortterm transactions for whch Totais. Add the armoures in eolum滷间師d σ]. Alaa, entine the amounts in column ( Enter hare and include on Bchede D, line 1 o 8949 Part II LongTerm Capital Gains and LossesAssets Held More Than One Year Note: You must check one of the bowebelow. ompletea parae Fompage 2, for esch box that is checked caution. Do rot ceplete cokmn (bl or (al unti you have reed ratncinns for Pose colurmns e lhe Instructions for Scheule D (Form 1040 Columns b) and [ai do not apply for most trarsactions and shouid generally be let blank A) Langterm raneactions reported on Longtem transactions reported an FormLangterm transactions for which Form 1099 B with banis roportad to the RS 10998 but basis not reported to the IRS cnnt heck box 4 Totals. Add the amouts in columns () and . Also, oombine the amounts in column, Erler here and include on Schedule D line & f box A above is checkedt, line 9 if box D above is checked), or line 10 Qualified Dividends and Capital Gain Tax WorksheetLine 44 Keep for Your Recors Before you begin: See the istructions for line 44 on page 35 to see if you can use this worksheet to figure your If yoa do not have to file Scheduk D and you roceived capital gain distributions, be sure you checked the box on line 13 of Form 1040 1. Enter the amount from Form 1040, line 43. However, if you are filling Form 2555 or 2555EZ (nelaing to forcign camed income), enter the amount from line 3 of the worksheot on page 36 2. Etter he amoual from Fra 1040, line &Are you filing Schedule D? Yes. Eater the smaller off line 15 or 16 of Schedule D, If either line 15 or line 16 is a loss, emer . □No. Enter the amount from Form 1040, line 13 t Adld lines 2 and 3 5. If tiling Form 4952(used so figure investment inierest expense doluction), enler any amount from lite 4g of that fom. Oherwise, enter0 6 Subtract liae 5 from line 4. If zero oe less, eter1 Subtract line 6 from line 1. If zero or less, enter0 R Emer 533,350 if single or married filing separately $70,700 if married filing joinily or qualifying widowfer 547,350 if head of howsehold 9. Ester the smaller of lite 1 oe line & 10. Enter the smaller of line 7 or line9 11. Suhinct line IO from line 9. This amount is used at 0% 12. Enter the smaller of line 1 or line 6 13. Enter the amount from line 11 14. Subtract line 13 from line 12 15, Mulkiply line 14 by 15% (.15) 16. Flgure the tas on the amount on line 7. If the amount on line 7 is less than S100,000, use the Tas 12. 14. 15, Table to figure this tax. If the amount on lite 7 is $100,000 or more, use the Tas Computation Workshee 16 17. Add lines 15 ad 16 18. Figure the tas on the amount on line 1. If the amount on line 1 is less than S100,000, use the Tax Table to figure this tax. If the amoum on line 1 is $100,000 or more, use the Tax Computation Workshee 1N. 19. Tax on alll taxable income. Enter the smaller of line 17 or line 18. Also inclade this amount on Forms 1000, line 44. ir you are filing Fonn 2553 or 2355EZ, do not enter this amount on Foem 1040, line 44. Insicad, enler il on line 4 of the worksheet on pae 36 19, 6252 Deooription of property S Wets property add baredatud party lae" iratructieral after May 14, 1960? lf№. skipin" 4 . UTes No the 2 years a his part for the year ing price including mortgages nd other debris Do not inlude interest, whether saled or unstated 6 8 Morgxges, debs, and oner labies the buyer assumed or took the B Cost or oher basis of property sold 9 Depreclation alowed or alowable Conmisslons an 12 11 d other expenses ncome recaptune from Form 4797, Part l (see instructions Acd in Ta 11, and 12 13 14 Subtract line 13from line 5.แ2Dro r loss, do not complnetnost of this formo0e instruotonst14 I the property described on ine 1 above was your main home, enter the amount of your eoluced 5 16 Gross profit. Subtroct line 15 tom ine 14 18 Contract price, Add Ine 7 and line part any year you receve a payment or have certain debts you must treat as a payment on instalment obligatians. 20 i tis is the year of sale, nter the amount from ine 17. 0therwise, enier0 21 Paymenta racewad during yaar (a instruetions. Do not includa intanest, whorther stated or unatated 21 23 Payments reced in pror years ( instruction Do nat inclace 24 Inetaliment sale inoome. Muhiply Ine 22 by ine 19 24 6000 Enler the part of 24 thal oyome under the raapun rl atructi Part Ill Reatod Party Instalilment Salo Incomo Do not corrpleto yOu roGeved the Nome, addresn, and axpayer identtying number of related party b The fist dlspostion was a sale or exchange of stock to the issuing corporation e OTheseoond daposilon was an involuntary conversion andthù threat of eowosion 0comod ฟur the fiul diposion. d The seond dspoeition occurred after the death of the original seler or buyer e DKoir, be atined the ผ1graciion of the IRS tat tas godarce pricipal purpo@ kr @ther of the Seling price of property sold by related party laee Inetructions prioe from line 1 33 Total payments reoelved by the end off your 2012 tax year isee inetructions 34 Subtact 5 Multiply Iine 34 by the groes prolt pncentage on Ine 18 for ye of fist sale line 33 frem ine 32 Enter the part of line 35 that is ordinary inoome under the reoapture rules (oe instruatione 5. Ear ore and on Schecuie D or Form
Step by Step Answer:
1040 Department of the Treasury Internal Revenue Service For the year Jan 1 Dec 31 2012 or other tax your beginning Your first name and inal Ivan I If a joint return spouse s first name and intial Lac...View the full answer
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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Johnston Corporation is growing at a steady rate of 6 percent annually. It has common shares and nonparticipating preferred shares outstanding. The cost of preferred shares (rps) is 8 percent. The...

Compare and contrast the economic, passive, cognitive, and emotional models of consumer decision making.

Kathy Kennedy (age 44) is a single taxpayer and she lives at 212 North Pine Way, Payson, AZ 85541. Her Social Security number is 467989784. Kathy's earnings and income tax withholding as the...

Sally hires a maid to work in her home for $250 per month. The maid is 25 years old and not related to Sally. During 2012, the maid worked 10 months for Sally. a. What is the amount of Social...

You are offered an investment that requires you to put up $12,000 today in exchange for $40,000 15 years from now. What is the annual rate of return on this investment?

If it takes 20.00 mL of Potassium hydroxide to completely neutralize 10.00 mL of 0.05 M sulfuric acid. Calculate the concentration of potassium hydroxide?

What is the relationship between increasing concentration of CO and the dry mass of corn?Explai

write sql statement based on the attached ERD. List the supplier ID, food description, and total quantity (Hint: Use SUM) for each supplied food item. If the food item has never been purchased,...

Engineering Inc has five engineers and four projects that need to be finished. The estimated time (in hours) it would take each engineer to finish each project is in the table below. (An 'X' in the...

Calculate the value of the equilibrium constant, Kc, for the unbalanced chemical reaction representing the decomposition of PH3 using the concentrations shown below: _ PH 3 (g) = _H(g) + [PH 3 ] =...

Table 17.16 gives the median 2009 and 2010 prices for used homes (in thousands of dollars) for six randomly selected U.S. housing markets. Use a nonparametric test to attempt to show that housing...

Q1) What is the a3 Value Q2) What is the a7 Value Q3) What is the a4 Value Q4) What is the b3 Value Q5) What is the b2 Value Q6) What is the sign of 2nd constraint? A pastry chef at a bakery wants to...

Consider the excerpts from the 2004 financial statements of Berkshire Hathaway shown below and on the next page to answer the following questions. 1. What was Berkshire Hathaways comprehensive income...

The following excerpts are from the 2004 financial statements of Microsoft. Microsoft grants employee stock options (ESO) to employees as part of its compensation plan. These ESOs have an exercise...

As discussed in the chapter, deferred taxes in the United Kingdom have historically been computed in a slightly different manner than in the United States. The concept underlying this crystallisation...

The use of a credit card is most similar to: Creating legal tender Reducing the value of the U.S. dollar Purchasing a certificate of deposit at a commercial bank Obtaining a shortterm loan from a...

Two identical 10 V batteries are placed in two different circuits seen below. In the circuit drawn on the right there is a resistor with an unknown resistance. What should the resistance of this...

Requirement : The switch in (Figure 1) has been open for a very long time. The switch is closed at t= 0s. Assume E = 190 V. 1.At t= 0 s, what is the current in the 60resistor? 2.At t= 0 s, what is...