Advanced Scenario Tax Year 2018 Interview Notes

Transcription

1 Advanced Training Tax Year 2018

2

3 Advanced Scenario Tax Year 2018 Interview Notes Charles and Louise Monroe are married and want to file a joint return. They have permanent custody of their granddaughter Amber who lived with them all year. Also, Louise s widowed father moved in several years ago and they provide more than half of his support. His only Income is 8, in Social Security Benefits. Charles retired in December 2017 and began receiving monthly pension payments in June No distributions were received before that. They selected a joint survivor annuity for these payments. Louise made a 4, contribution to her Traditional IRA in After retirement Charles began working as a bartender at private parties. In addition to the tips his employer reported he states he received an additional in tips not reported to his employer. Charles and Louise provide a worksheet from their prior year return showing a long-term capital loss carryover of 15, They sold their home in The home was purchased on July 30, 2008 for 195, In 2010 they added an in-ground pool for 35, The commission to the real estate agent was 11, They brought in their closing statement which indicated they paid the following costs when they purchased their home in They lived in their home from August 2008 to February Louise never claimed business use of home expense on her Schedule C. Legal fees 1200 Title insurance 750 Survey 425 Louise took an early distribution from her retirement plan to pay medical insurance premiums for Amber. Charles and Louise were solvent at the time the credit card debt was cancelled. Their itemized expenses do not exceed the standard deduction for Charles was insured through his employer all year. Louise purchased private health insurance through her business. The cost for Louise s health insurance for the year was 3, Amber was insured through the Marketplace all year. Mitchell is covered under Medicare. Louise is self employed as a manicurist and provides expenses for her business. She has clients who are unable to arrange transportation to the shop where she rents her booth. Louise leaves the shop early twice a week to provide manicures and pedicures to her housebound clients who pay her with cash and checks. She also indicates tips. She started using their second car a 2008 Toyota for business on March 15, 2010 and she keeps written records. Louise paid one individual as contract labor to clean her booth. If they have a refund they would like it deposited into their checking account ( ) at Wells Fargo (routing ). 1

4 Charles Monroe Charles Monroe Louise Monroe Louise Monroe Charles DOB: Louise s DOB: Mitchell Wayne Mitchell Wayne Amber L. Monroe Amber L. Monroe Mitchell s DOB Amber s DOB:

5 OMB Number Department of the Treasury - Internal Revenue Service Intake/Interview & Quality Review Sheet Form C (October 2018) Please complete pages 1-3 of this form. You are responsible for the information on your return. Please provide complete and accurate information. If you have questions, please ask the IRS-certified volunteer preparer. You will need: Tax Information such as Forms W-2, 1099, 1098, Social security cards or ITIN letters for all persons on your tax return. Picture ID (such as valid driver's license) for you and your spouse. Volunteers are trained to provide high quality service and uphold the highest ethical standards. To report unethical behavior to the IRS, us at wi.voltax@irs.gov Part I Your Personal Information (If you are filing a joint return, enter your names in the same order as last year s return) 1. Your first name M.I. Last name Daytime telephone number Are you a U.S. citizen? CHARLES MONROE Yes No 2. Your spouse s first name M.I. Last name Daytime telephone number Is your spouse a U.S. citizen? LOUISE MONROE Yes No 3. Mailing address Apt # City State ZIP code 3785 LIVE OAK DRIVE AUSTIN TX Your Date of Birth 5. Your job title 6. Last year, were you: a. Full-time student Yes No 03/17/1960 RETIRED b. Totally and permanently disabled Yes No c. Legally blind Yes No 7. Your spouse s Date of Birth 8. Your spouse s job title 9. Last year, was your spouse: a. Full-time student Yes No 12/12/1962 MANICURIST b. Totally and permanently disabled Yes No c. Legally blind Yes No 10. Can anyone claim you or your spouse as a dependent? Yes No Unsure 11. Have you, your spouse, or dependents been a victim of tax related identity theft or been issued an Identity Protection PIN? Yes No Part II Marital Status and Household Information Never Married (This includes registered domestic partnerships, civil unions, or other formal relationships under state law) Married a. If Yes, Did you get married in 2018? Yes No 1. As of December 31, 2018, what was your marital status? b. Did you live with your spouse during any part of the last six months of 2018? Yes No Divorced Date of final decree Legally Separated Date of separate maintenance agreement Widowed Year of spouse s death 2. List the names below of: If additional space is needed check here and list on page 3 everyone who lived with you last year (other than your spouse) anyone you supported but did not live with you last year To be completed by a Certified Volunteer Preparer Did the taxpayer(s) pay more than half the cost of maintaining a home for this person? (yes/no) Did the taxpayer(s) provide more than 50% of support for this person? (yes/no/n/a) Did this person have less than 4,150 of income? (yes/no) Did this person provide more than 50% of his/ her own support? (yes/no) Is this person a qualifying child/relative of any other person? (yes/no) Totally and Permanently Disabled (yes/no) Full-time Student last year (yes/no) Single or Married as of 12/31/18 (S/M) Resident of US, Canada, or Mexico last year (yes/no) US Citizen (yes/no) Number of months lived in your home last year Relationship to you (for example: son, daughter, parent, none, etc) (c) Date of Birth (mm/dd/yy) Name (first, last) Do not enter your name or spouse s name below (i) (h) (g) (f) (e) (d) (b) (a) AMBER MONROE 12/9/2005 GRANDD 12 YES YES S YES NO MITCHELL WAYNE 11/24/1942 PARENT 12 YES YES S NO NO 3 Catalog Number 52121E Form C (Rev )

6 Page 2 Check appropriate box for each question in each section Yes No Unsure Part III Income Last Year, Did You (or Your Spouse) Receive 1. (B) Wages or Salary? (Form W-2) If yes, how many jobs did you have last year? 2. (A) Tip Income? 3. (B) Scholarships? (Forms W-2, 1098-T) 4. (B) Interest/Dividends from: checking/savings accounts, bonds, CDs, brokerage? (Forms 1099-INT, 1099-DIV) 5. (B) Refund of state/local income taxes? (Form 1099-G) 6. (B) Alimony income or separate maintenance payments? 7. (A) Self-Employment income? (Form 1099-MISC, cash) 8. (A) Cash/check payments for any work performed not reported on Forms W-2 or 1099? 9. (A) Income (or loss) from the sale of Stocks, Bonds or Real Estate? (including your home) (Forms 1099-S,1099-B) 10. (B) Disability income? (such as payments from insurance, or workers compensation) (Forms 1099-R, W-2) 11. (A) Retirement income or payments from Pensions. Annuities, and or IRA? (Form 1099-R) 12. (B) Unemployment Compensation? (Form 1099G) 13. (B) Social Security or Railroad Retirement Benefits? (Forms SSA-1099, RRB-1099) 14. (M) Income (or loss) from Rental Property? 15. (B) Other income? (gambling, lottery, prizes, awards, jury duty, Sch K-1, royalties, foreign income, etc.) Specify K-1 1 Yes No Unsure Part IV Expenses Last Year, Did You (or Your Spouse) Pay 1. (B) Alimony or separate maintenance payments? If yes, do you have the recipient s SSN? Yes No 2. Contributions to a retirement account? IRA (A) 401K (B) Roth IRA (B) Other 3. (B) College or post secondary educational expenses for yourself, spouse or dependents? (Form 1098-T) 4. (A) Deductions: Medical & Dental (including insurance premiums) Mortgage Interest (Form 1098) Taxes (State, Real Estate, Personal Property, Sales) Charitable Contributions 5. (B) Child or dependent care expenses such as daycare? 6. (B) For supplies used as an eligible educator such as a teacher, teacher s aide, counselor, etc.? 7. (A) Expenses related to self-employment income or any other income you received? 8. (B) Student loan interest? (Form 1098-E) Yes No Unsure Part V Life Events Last Year, Did You (or Your Spouse) 1. (HSA) Have a Health Savings Account? (Forms 5498-SA, 1099-SA, W-2 with code W in box 12) 2. (A) Have credit card or mortgage debt cancelled/forgiven by a lender or have a home foreclosure? (Forms 1099-C, 1099-A) 3. (A) Adopt a child? 4. (B) Have Earned Income Credit, Child Tax Credit or American Opportunity Credit disallowed in a prior year? If yes, for which tax year? 5. (A) Purchase and install energy-efficient home items? (such as windows, furnace, insulation, etc.) 6. (B) Live in an area that was declared a Federal disaster area? If yes, where? 7. (A) Receive the First Time Homebuyers Credit in 2008? 8. (B) Make estimated tax payments or apply last year s refund to this year s tax? If so how much? 9. (A) File a federal return last year containing a capital loss carryover on Form 1040 Schedule D? 10. Receive a letter from the IRS? 4 Catalog Number 52121E Form C (Rev )

7 Page 3 Check appropriate box for each question in each section Yes No Unsure Part VI - Health Care Coverage - Last year, did you, your spouse, or dependent(s) Form 1095-B Form 1095-C 1. (B) Have health care coverage? 2. (B) Receive one or more of these forms? (Check the box) 3. (A) Have coverage through the Marketplace (Exchange)? [Provide Form 1095-A] 3a. (A) If yes, were advance credit payments made to help you pay your health care premiums? 3b. (A) If yes, Is everyone listed on your Form 1095-A being claimed on this tax return? 4. (B) Have an exemption granted by the Marketplace? To be Completed by a Certified Volunteer Preparer (Use Publication 4012 and check the appropriate box(es) indicating Minimum Essential Coverage (MEC) for everyone listed on the return.) Name MEC All Year No MEC Months with MEC Months with Exemption Exempt All Year Notes Taxpayer X J F M A M J J A S O N D J F M A M J J A S O N D Spouse X J F M A M J J A S O N D J F M A M J J A S O N D Dependent X J F M A M J J A S O N D J F M A M J J A S O N D Dependent X J F M A M J J A S O N D J F M A M J J A S O N D Dependent J F M A M J J A S O N D J F M A M J J A S O N D Part VII Additional Information and Questions Related to the Preparation of Your Return CMONROE@GMAIL.COM c. To split your refund between different accounts Yes No 1. Provide an address (optional) (this address will not be used for contacts from the Internal Revenue Service) 2. Presidential Election Campaign Fund (If you check a box, your tax or refund will not change) Check here if you, or your spouse if filing jointly, want 3 to go to this fund You Spouse 3. If you are due a refund, would you like: a. Direct deposit Yes No 4. If you have a balance due, would you like to make a payment directly from your bank account? Yes No b. To purchase U.S. Savings Bonds Yes No Many free tax preparation sites operate by receiving grant money. The data from the following questions may be used by this site to apply for these grants. Your answers will be used only for statistical purposes. 5. Would you say you can carry on a conversation in English, both understanding & speaking? Very well Well Not well Not at all Prefer not to answer 6. Would you say you can read a newspaper or book in English? Very well Well Not well Not at all Prefer not to answer 7. Do you or any member of your household have a disability? Yes No Prefer not to answer 8. Are you or your spouse a Veteran from the U.S. Armed Forces? Yes No Prefer not to answer Additional comments Privacy Act and Paperwork Reduction Act Notice The Privacy Act of 1974 requires that when we ask for information we tell you our legal right to ask for the information, why we are asking for it, and how it will be used. We must also tell you what could happen if we do not receive it, and whether your response is voluntary, required to obtain a benefit, or mandatory. Our legal right to ask for information is 5 U.S.C We are asking for this information to assist us in contacting you relative to your interest and/or participation in the IRS volunteer income tax preparation and outreach programs. The information you provide may be furnished to others who coordinate activities and staffing at volunteer return preparation sites or outreach activities. The information may also be used to establish effective controls, send correspondence and recognize volunteers. Your response is voluntary. However, if you do not provide the requested information, the IRS may not be able to use your assistance in these programs. The Paperwork Reduction Act requires that the IRS display an OMB control number on all public information requests. The OMB Control Number for this study is Also, if you have any comments regarding the time estimates associated with this study or suggestion on making this process simpler, please write to the Internal Revenue Service, Tax Products Coordinating Committee, SE:W:CAR:MP:T:T:SP, 1111 Constitution Ave. NW, Washington, DC Catalog Number 52121E Form C (Rev )

8 Form (EN-SP) (June 2018) Department of the Treasury - Internal Revenue Service Consent to Disclose Tax Return Information to VITA/TCE Tax Preparation Sites Federal Disclosure: Federal law requires this consent form be provided to you. Unless authorized by law, we cannot disclose your tax return information to third parties for purposes other than the preparation and filing of your tax return without your consent. If you consent to the disclosure of your tax return information, Federal law may not protect your tax return information from further use or distribution. You are not required to complete this form to engage our tax return preparation services. If we obtain your signature on this form by conditioning our tax return preparation services on your consent, your consent will not be valid. If you agree to the disclosure of your tax return information, your consent is valid for the amount of time that you specify. If you do not specify the duration of your consent, your consent is valid for one year from the date of signature. Terms: Global Carry Forward of data allows TaxSlayer LLC, the provider of the VITA/TCE tax software, to make your tax return information available to ANY volunteer site participating in the IRS's VITA/TCE program that you select to prepare a tax return in the next filing season. This means you will be able to visit any volunteer site using TaxSlayer next year and have your tax return populate with your current year data, regardless of where you filed your tax return this year. This consent is valid through November 14, The tax return information that will be disclosed includes, but is not limited to, demographic, financial and other personally identifiable information, about you, your tax return and your sources of income, which was input into the tax preparation software for the purpose of preparing your tax return. This information includes your name, address, date of birth, phone number, SSN, filing status, occupation, employer's name and address, and the amounts and sources of income, deductions and credits that were claimed on, or contained within, your tax return. The tax return information that will be disclosed also includes the name, SSN, date of birth, and relationship of any dependents that were claimed on your tax return. You do not need to provide consent for the VITA/TCE partner preparing your tax return this year. Global Carry Forward will assist you only if you visit a different VITA or TCE partner next year. Limitation on the Duration of Consent: I/we, the taxpayer, do not wish to limit the duration of the consent of the disclosure of tax return information to a date earlier than presented above (November 14, 2020). If I/we wish to limit the duration of the consent of the disclosure to an earlier date, I/we will deny consent. Limitation on the Scope of Disclosure: I/we, the taxpayer, do not wish to limit the scope of the disclosure of tax return information further than presented above. If I/we wish to limit the scope of the disclosure of tax return information further than presented above, I/we will deny consent. Consent: I/we, the taxpayer, have read the above information. I/we hereby consent to the disclosure of tax return information described in the Global Carry Forward terms above and allow the tax return preparer to enter a PIN in the tax preparation software on my behalf to verify that I/we consent to the terms of this disclosure. Primary taxpayer signature Date Secondary taxpayer signature Date If you believe your tax return information has been disclosed or used improperly in a manner unauthorized by law or without your permission, you may contact the Treasury Inspector General for Tax Administration (TIGTA) by telephone at , or by at complaints@tigta.treas.gov. Catalog Number 71414A Form (EN-SP) (6-2018) 6

9 b Employer Identification Number (EIN) c Employer s name, address and ZIP code RST Services PO Box 5678 Austin, TX d Employee s name, address and ZIP code Charles Monroe Austin, TX State Employer s state ID number 16 State wages, tips, etc CORRECTED 12a See instructions for box 12 12b 12c 12d 12e This information being provided to Internal Revenue Service Copy B To Be Filed With Employee s FEDERAL Tax Return a Employee s Social Security Number State income tax 18 Local wages, tips, etc. 1 Wages, tips other compensation 3, Social security wages 2, Medicare wages and tips 3, Social security tips 1, Federal income tax withheld Social security tax withheld Medicare tax withheld Allocated tips 9 Verification code 10 Dependent care benefits 67D3-58C2-3BB9-11B3 11 Nonqualified plans 13 Statutory Retirement Plan Thirdparty Employee plan sick-pay 14 Other Interview Notes: In addition to the tips his employer reported Charles states he received an additional 350 in tips not reported to his employer. 19 Local income tax 20 Locality name. Department of the Treasury Internal Revenue Service FORM W-2 wage and Tax Statement 2018 Copy B To be filed with employee s FEDERAL tax return OMB No Form W-2 (keep for your records) Department of the Treasury Internal Revenue Service PAYER S name, street address, city or town, province or state, country, and ZIP or foreign postal code Hometown Pension Fund PO Box 7894 Austin, TX PAYER S federal identification number RECIPIENT S name Louise Monroe Street address (including apt. no.) RECIPIENT S identification number City or town, province or state, country, and ZIP or foreign postal code Austin, TX Amount allocable to IRR within 5 years 11 1st year of desig. Roth contrib. CORRECTED (if checked) OMB No Gross distribution 1, a Taxable amount 1, b Taxable amount not determined 3 Capital gain (included in box 2a) 5 Employee contributions /Designated Roth contributions or insurance premiums 7 Distribution code(s) 1 9a Your percentage of total distribution IRA/ SEP/ SIMPLE 2018 Form 1099-R Total distribution 4 Federal income tax withheld Net unrealized appreciation in employer s securities 8 Other 9b Total employee contributions % Interview Notes: Louise took an early 12 State tax withheld distribution to pay medical insurance premiums for Amber. % Distributions From Pensions, Annuities, Retirement or Profit- Sharing Plans, IRAs, Insurance Contracts, etc Copy B Report this income on your federal tax return. If this form shows federal income tax withheld in box 4, attach this copy to your return. This information is being furnished to the Internal Revenue Service. 13 State/Payer s state no. 14 State distribution Account number (see instructions 15 Local tax withheld 16 Name of locality 17 Local distribution Form 1099-R Department of the Treasury-Internal Revenue Service 7

10 PAYER S name, street address, city or town, province or state, country, and ZIP or foreign postal code Hometown Pension Fund PO Box 7894 Austin, TX PAYER S federal identification number RECIPIENT S name Charles Monroe RECIPIENT S identification number CORRECTED (if checked) 1 Gross distribution OMB No , a Taxable amount 2b Taxable amount not determined 3 Capital gain (included in box 2a) 5 Employee contributions /Designated Roth contributions or insurance premiums 2018 Form 1099-R Total distribution 4 Federal income tax withheld 2, Net unrealized appreciation in employer s securities Distributions From Pensions, Annuities, Retirement or Profit- Sharing Plans, IRAs, Insurance Contracts, etc Copy B Report this income on your federal tax return. If this form shows federal income tax withheld in box 4, attach this copy to your return. Street address (including apt. no.) City or town, province or state, country, and ZIP or foreign postal code Austin, TX Amount allocable to IRR within 5 years Account number (see instructions 11 1st year of desig. Roth contrib. FATCA filing requirement Date of payment 2, Distribution code(s) 7 IRA/ SEP/ SIMPLE 9a Your percentage of total distribution % 12 State tax withheld 8 Other 9b Total employee contributions 20, % This information is being furnished to the Internal Revenue Service. 13 State/Payer s state no. 14 State distribution 15 Local tax withheld 16 Name of locality 17 Local distribution Form 1099-R (keep for your records) Department of the Treasury Internal Revenue Service Interview Notes: Charles retired in December 2017 and began receiving monthly pension payments in June No distributions were received before annuity began. They selected a joint survivor annuity for these payments. Ages when first payment received: Charles - 58 Louise 55 Box 5 amounts are usually health insurance premiums paid by the annuitant. Clarify with the client if this amount is a contribution or insurance premium. Charles confirmed the box 5 amount is health insurance premiums. 8

11 PAYER S name, street address, city or town, province or state, country, ZIP or foreign postal code, and telephone no. Tabitha s Salon PO Box 6542 Austin, TX PAYER S federal identification number RECIPIENT S name Louise Monroe Street address (including apt. no.) RECIPIENT S identification number City or town, province or state, country, and ZIP or foreign postal code Austin, TX Account number (see instructions) 15a Section 409A deferrals 15b Section 409A income 1 Rents 2 Royalties CORRECTED 3 Other income 5 Fishing boat proceeds 7 Nonemployee compensation 14, Payer made direct sales of 5,000 or more of consumer products to a buyer (recipient) for resale 11 Foreign tax paid 13 Excess golden parachute payments 16 State tax withheld OMB No Form 1099-MISC 4 Federal income tax withheld 6 Medical and health care payments 8 Substitute payments in lieu of dividends or interest 10 Crop insurance proceeds 12 Foreign country or U.S. possession Miscellaneous Income Copy B For Recipient This is important tax information and is being furnished to the Internal Revenue Service. If you are required to file a return, a negligence penalty or other sanction may be imposed on you if this income is taxable and the IRS determines that it has not been reported. 14 Gross proceeds paid to an attorney 17 State/Payer s state no. 18 State income Form 1099-MISC (keep for your records) Department of the Treasury Internal Revenue Service PAYER S name, street address, city or town, province or state, country, ZIP or foreign postal code, and telephone no. Kate s Day Spa PO Box 3016 Austin, TX PAYER S federal identification number RECIPIENT S name Louise Monroe Street address (including apt. no.) RECIPIENT S identification number City or town, province or state, country, and ZIP or foreign postal code Austin, TX Account number (see instructions) 15a Section 409A deferrals 15b Section 409A income 1 Rents 2 Royalties CORRECTED 3 Other income 5 Fishing boat proceeds 7 Nonemployee compensation 2, Payer made direct sales of 5,000 or more of consumer products to a buyer (recipient) for resale 11 Foreign tax paid 13 Excess golden parachute payments 16 State tax withheld OMB No Form 1099-MISC 4 Federal income tax withheld 6 Medical and health care payments 8 Substitute payments in lieu of dividends or interest 10 Crop insurance proceeds 12 Foreign country or U.S. possession Business code for manicurist is Miscellaneous Income Copy B For Recipient This is important tax information and is being furnished to the Internal Revenue Service. If you are required to file a return, a negligence penalty or other sanction may be imposed on you if this income is taxable and the IRS determines that it has not been reported. 14 Gross proceeds paid to an attorney 17 State/Payer s state no. 18 State income Form 1099-MISC (keep for your records) Department of the Treasury Internal Revenue Service 9

12 Are You Self-Employed? START HERE! Were you self-employed, ran your own business, or did you receive a Form 1099-MISC? If so, check the statements below that apply to you. I paid employees. I kept an office in my home. I had more than 25,000 in business expenses. I had more than one business. I kept an inventory for my business. I need to report a business loss. If you answered YES to any of these, please stop here and bring your documents to the intake desk for review. If you answered NO to all of these, please continue by completing the worksheet below. Income and Expenses for Tax Year Income What industry/type of work did you do? Cash, checks, etc manicurist Form 1099-MISC Expenses Advertising 146 Overnight travel (hotel/airfare) 326 Commissions and fees Business meals (onsite only) Contract labor 500 Utilities (NOT household) Business liability insurance 458 Business phone 427 Interest on business loans Professional education 300 Legal & professional services Protective clothing & shoes Office expense/supplies Small tools Office or storage rent 2400 Other: Machinery rent Health Insurance Premiums 3900 Repairs to equipment Supplies 3024 Toll road fees/parking 56 Equipment including computers Number of business miles 251 Professional License/state taxes 100 Vehicle type: Year: 2008 Make:_Toyota Model: Camry Rideshare drivers: use this table to assist in calculating income and mileage totals. Ride service: Uber Lyft Totals: Miles driven Income reported on 1099-MISC Cash, checks, etc not reported on MISC 10

13 ABC Investments 211 Main Street San Francisco, CA Form 1099-B 2018 Proceeds from Broker and Barter Exchange Transactions Copy B for Recipient OMB NO TAX REPORTING STATEMENT Charles and Louise Monroe Austin, TX Account No Recipient ID NO. XXX-XX-9989 Payer s Fed ID Number: Short-term transactions for which basis is reported to the IRS Report on Form 8949 with Box A checked and/or Schedule D, Part I 8-Description CUSIP Number 1a Date of Sale or Exchange DEF stocks JKL stocks LMN Stock /01/18 02/01/18 02/01/18 1b Date of Acquisition 09/01/17 10/22/17 06/15/17 1e Quantity Sold a Sales Price of Stocks, etc 1, , , Cost or Other Basis 2, , , Gain/Loss -1, , TOTALS 5, , Federal Income Tax Withheld Form 1099-B 2018 Proceeds from Broker and Barter Exchange Transactions Copy B for Recipient OMB NO Long-term transactions for which basis is not reported to the IRS Report on Form 8949 with Box E checked and/or Schedule D, Part II 8-Description CUSIP Number 1a Date of Sale or Exchange GHI Stocks OPQ Stocks /01/18 05/01/18 1b Date of Acquisition 06/23/02 05/31/06 1e Quantity Sold a Sales Price of Stocks, etc 2, , Cost or Other Basis 2, , Gain/Loss , TOTALS 6, , , Federal Income Tax Withheld This is important tax information and is being furnished to the Internal Revenue Service. If you are required to file a return, a negligence penalty or other sanction may be imposed on you if this income is taxable and the IRS determines that it has not been reported. Interview Notes: Charles and Louise provide a worksheet from their prior year return showing a longterm capital loss carryover of 15,

14 FILER S name, street address, city or town, province or state, country, ZIP or foreign postal code, and telephone number KLM Title PO Box 4568 Austin, TX FILER S federal identification number TRANSFEROR S name Charles & Louise Monroe Street address (including apt. no.) TRANSFEROR S identification number City or Town, province or state, country, and ZIP or foreign postal code Austin, TX Account or escrow number (see instructions) CORRECTED 1 Date of closing 02/28/ Gross proceeds 325, Address or legal description 4587 Pecan Grove Lane Austin, TX OMB No Form 1099-S 4 Transferor received or will receive property or services as part of the consideration (if checked) Buyer s part of real estate tax Proceeds From Real Estate Transactions Copy B For Transferor This is important tax information and is being furnished to the Internal Revenue Service. If you are required to file a tax return, a negligence penalty or other sanction may be imposed on you if the IRS determines that it has not been reported. Form 1099-S (keep for your records) Department of the Treasury Internal Revenue Service Interview Notes: They sold their home in The home was purchased on July 30, 2008 for 195, In 2010 they added an in-ground pool for 35, The commission to the real estate agent was 19, They brought in their closing statement which indicated they paid the following costs when they purchased their home in Legal fees 1200 Title insurance 750 Survey 425 They lived in their home from August 2008 to February Louise never claimed business use of home expense on her Schedule C. 12

15 CORRECTED (if checked) CREDITOR S name, street address, city or town, province or state, country, ZIP or foreign postal code, and telephone number National Bank PO Box 4565 Austin, TX CREDITOR S federal identification number DEBTOR S name Charles Monroe Street address (including apt. no.) DEBTOR S identification number City or Town, province or state, country, and ZIP or foreign postal code Austin, TX Account number (see instructions) Date of identifiable event 07/15/ Amount of debt discharged Interest if included in box 2 4 Debt description CREDIT CARD OMB No Form 1099-C 5 If checked, the debtor was personally liable for repayment of the debt Identifiable event code 7 Fair market value of property Cancellation of Debt Copy B For Debtor This is important tax information and is being furnished to the Internal Revenue Service. If you are required to file a tax return, a negligence penalty or other sanction may be imposed on you if taxable income results from this transaction and the IRS determines that it has not been reported. Form 1099-C (keep for your records) c Department of the Treasury Internal Revenue Service Interview Notes: Charles and Louise were solvent at the time the credit card debt was cancelled. 13

16 Schedule K-1 (Form 1120S) Department of the Treasury Internal Revenue Service For calendar year 2018, or tax year beginning, 2018 ending, Final K-1 Amended K-1 OMB No Part III Shareholder s Share of Current Year Income, Deductions, Credits, and Other Items 1 Ordinary business income (loss) 2 Net rental real estate income (loss) 13 Credits Shareholder s Share of Income, Deductions, Credits, etc. See back of form and separate instructions Part I Information About the Corporation A Corporation s employer identification number B Corporation s name, address, city, state, and ZIP code LMN Inc. PO Box 6523 Austin, TX Other net rental income (loss) 4 Interest income 5a 5b Ordinary dividends Qualified dividends 6 Royalties Net short-term capital gain (loss) 250 C IRS Center where corporation filed return 8a Net long-term capital gain (loss) Ogden (136) Part II Information About the Shareholder 8b Collectibles (28%) gain (loss) 5 14 Foreign transactions D Shareholder s identifying number E Shareholder s name, address, city, state, and ZIP code Charles J Monroe Austin, TX F Shareholder s percentage of stock Ownership for tax year % 8c Unrecaptured section 1250 gain 9 Net section 1231 gain (loss) 10 Other income (loss) 15 Alternative minimum tax (AMT) items If the client s K-1 has entries on any lines not shown here it is out-of-scope for VITA. 11 Section 179 deduction 16 Items affecting shareholder basis 12 Other deductions A Other information *See attached statement for additional information For Paperwork Reduction Act Notice, see Instructions for Form 1120S. Cat. No D Schedule K-1 (Form 1120S)

17 Form 1095-A Department of the Treasury Internal Revenue Service Part 1 Recipient Information Health Insurance Marketplace Statement VOID Information about Form 1095-A and it s separate instructions CORRECTED is at 1 Marketplace identifier 2 Marketplace assigned policy number Policy Issuer s name DEF Health Insurance OMB No Recipient s name 5 Recipient s SSN 6 Recipient s date of birth Charles Monroe XXX-XX /17/ Recipient s spouse s name 8 Recipient s spouse s SSN 8 Recipient s spouse s date of birth 10 Policy start date 01/01/ City or town Austin Part II Covered Individuals 11 Policy termination date 04/30/ State or Province TX 12 Street address (including apartment no) A. Covered individual name B. Covered Individual SSN C. Covered individual date of birth 15 Country and zip or foreign postal code D. Coverage start date E. Coverage termination date 16 Amber Monroe XXX-XX /09/2005 1/15/ /30/ Part III If everyone listed on Form 1095-A is not included on Form 1040 then a shared policy allocation must be calculated and the return is out-of-scope for VITA. Coverage Information A. Monthly enrollment premiums B. Monthly second lowest cost silver Month plan (SLCSP) premium C. Monthly advance payment of premium tax credit 21 January February March April May 26 June 27 July 28 August 29 September If the SLCSP is not present on Form 1095-A the preparer must go to the Marketplace and determine the correct SLCSP to correctly reconcile advanced PTC. 30 October 31 November 32 December 33 Annual Totals For Privacy Act and Paperwork Reduction Act Notice, see separate instructions Cat. No Q Form 1095-A (2016) 15

18 Form 1095-A Department of the Treasury Internal Revenue Service Part 1 Recipient Information Health Insurance Marketplace Statement VOID Information about Form 1095-A and it s separate instructions CORRECTED is at 1 Marketplace identifier 2 Marketplace assigned policy number Policy Issuer s name MED Health Insurance OMB No Recipient s name 5 Recipient s SSN 6 Recipient s date of birth Charles Monroe XXX-XX /17/ Recipient s spouse s name 8 Recipient s spouse s SSN 8 Recipient s spouse s date of birth 10 Policy start date 05/01/ City or town Austin Part II Covered Individuals 11 Policy termination date 12/31/ State or Province TX 12 Street address (including apartment no) A. Covered individual name B. Covered Individual SSN C. Covered individual date of birth 15 Country and zip or foreign postal code D. Coverage start date E. Coverage termination date 16 Amber Monroe XXX-XX /09/ /01/ /31/ Part III Coverage Information A. Monthly enrollment premiums B. Monthly second lowest cost silver Month plan (SLCSP) premium C. Monthly advance payment of premium tax credit 21 January 22 February 23 March 24 April 25 May June July August September October November December Annual Totals For Privacy Act and Paperwork Reduction Act Notice, see separate instructions Cat. No Q Form 1095-A (2016) 16