4-28 216 Individual Income Taxes/Solutions Manual 58. F 14 ' m Department otthe Treasury-lntemal Revenue Service (99) 12 141 I u.s. Individual Income Tax Return OM No. 1545-74 IRS Use Only-Do not write or staple In this space. For the year Jan. 1-Dec. 31. 214, or other tax year beginning. 214, ending -~ See separate instructions. your -rirst-name antrlni~ar-- -------- -- - - Last name --------------- DANIEL SUTLER 111-11-1111 If a jomt return, spouse's first name and initial Last name Spouse's social security number FREIDA c UTLER 123-45-6789 Home address (number and street). If you have a P.O. box, see instructions. I Apt. no. Make sure the SSN(s) above 6?5 OAf( STREF:T.. and on line 6c are correct. City, town or post office. state, and ZIP code. If you have a foreign address. also complete spaces below (see instructions) Presidential Election Campaign -- - -- ----- ---- Check here 1f you, or your spouse if fdmg COP..LN KY 471 jointly, want $3 to go to this fund Checking Foreign country name I Foreign province/state/county I Foreign postal code a box below will not chanuur tax or refund D You Spouse Filing Status Check only one box. Exemptions If more than four dependents. see instructions ap.q_, check here JooU Single Married filing jointly (even if only one had income) Married filing separately. Enter spouse's SSN above and full name here. 4 Head of household (wtth qualtfy1ng person). (See tnstr.) If the qualifying person is a child but not your dependent. enter this child's name here....... 5 Qualifying widow(er) with dependent child If someone can claim you as a dependent, do not check box 6a oxes checked on 6a and 6b No. of children on 6c who: lived with you did not live with you due to divorce or separation (see instructions) Dependents on 6c not entered above 2 2 Income Attach Form(s) W-2 here. Also attach Forms W-2G and 199-R if tax was withheld. If you did not get a W-2, see instructions. 7 Wages, salaries, tips, etc. Attach Form(s) W-2 Sa Taxable interest Attach Schedule if required b Tax-exempt interest Do not include on line Sa 9a Ordinary dividends. Attach Schedule if required b Qualified dividends 1 Taxable refunds, credits. or offsets of state and local income taxes 11 Alimony received. 12 usiness income or (loss). Attach Schedule Cor C-EZ 13 Capital gain or (loss). Attach ScheduleD if required. If not required. check here 14 Other gains or (losses). Attach Form 4797. 15a IRA distributions r 1 :..;5,aa'-ll--------ll bb Taxable amount 16a Pensions and annuities. 16.. Taxable amount 17 18 Renta l real estate, royalties, partnerships, S corporations, trusts, etc. Attach Schedule E Farm income or (loss). Attach Schedule F 19 Unemployment compensation Social security benefits b Taxable amount... Adjusted Gross Income KIA 24 25 26 27 28 29 3 31a 32 33 34 35 36 37 Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 216 or 216-EZ Health savings account deduction. Attach Form 8889 Moving expenses. Attach Form 393 Deductible part of self-employment tax. Attach Schedule SE Self-employed SEP. SIMPLE, and qualified plans Self-employed health insurance deduction Penalty on early withdrawal of savings Alimony paid b Recipient's SSN Joo IRA deduction Student loan interest deduction. Tuition and fees. Attach Form 8917 Domestic production activities deduction. Attach Form 893 Add lines 23 through 35 Subtract line 36 from line 22. This is income. For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. 216 Cengage Learning All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Gross Income: Concepts and Inclusions 4-29 Form 14 (214) Di\NIEL UTLER 111-11-llll Page 2 Tax and Credits Standard Deduction for- People who check any box on line 39a or 39b or who can be claimed as a dependent. see Instructions. All others: Smgleor Married filing separately. $6,2 Married filing Jointly or Qualifying widow(er), $12,4 Head of household, $9.1 Other Taxes Payments If you have a qualifying child. attach Schedule EIC. 38 Amount from line 37 (adjusted gross income).. i-'--'-1;-"3""8+-----1_7_3_., 1_8_2 39a Check { D You were born before January 2, 195, D lind. } Total boxes if: D Spouse was born before January 2, 195, D lind. checked ll> 39a b If your spouse itemizes on a separate return or you were a dual-status alien, check here ll> 39b Itemized deductions (from Schedule A) or your standard deduction (see left margin) Subtract line 4 from line 38 Exemptions. If line 38 is $152,525 or less, multiply $3,95 by the number on line 6d. Otherwise, see instructions 43 Taxable income. Subtract line 42 from l'lne 41. If line 42 is more than line 41, enter wo- 4 '41 42 9 ~ 44 Tax (see mstruclions). Check If any from: ad Form(s) 8814 b D Form 4972 c ---------... 45 46 47 48 49 5 51 52 53 54 Alternative minimum tax (see instructions). Attach Form 6251 Excess advance premium tax credit repayment. Attach Form 8962 Add lines 44, 45, and 46.. Foreign tax credit. Attach Form 1116 if required Credit for child and dependent care expenses. Attach Form 2441 Education credits from Form 8863, line 19 Retirement savings contributions credit. Attach Form 888 Child tax credit. Attach Schedule 8812, if required Residential energy credits. Attach Form 5695 48 49 5 i 51 I 52 r--- -- Other credits from Form: a 38 bd 881 c -------- 154" L:: ------- -- -... 55 Add lines 48 through 54. These are your total credits. 56 Subtract line 55 from line 47. If line 55 is more than line 47, enter -- 57 Self-employment tax. Attach Schedule SE.. 58 Unreported social security and Medicare tax from Form: a 4137 b 8919 59 Additional tax on IRAs, other qualified retirement plans. etc. Attach Form 5329 if required 6a Household employment taxes from Schedule H. b First-time homebuyer credit repayment. Attach Form 545 if required... 61 Health care: individual responsibility (see instructions) Full-year coverag.{8] 62 Taxes from: a Form 8959 b Form 896 c D Instructions: enter code(s) 63 Add lines 56 throuqh 62. This is your total tax... 63 26,838 64 Federal income tax withheld from Forms W -2 and 199 64 23,4 65 214 estimated tax payments and amount applied from 213 return r-6_5+,_o_o_o--l 66a Earned income credit (EIC)....... i. b i 66a b Nontaxable combat pay election c..;:;::::::.. ~...l 66 +-+-------1 67 Additional child tax credit. Attach Schedule 8812 67 68 American opportunity credit from Form 8863, line 8 68 69 Net premium tax credit. Attach Form 8962. 69 7 Amount paid with request for extension to file 7 71 Excess social security and tier 1 RRTA tax withheld 71 72 Credit for federal tax on fuels. Attach Form 4136 72 73 Credits from Form:! 53 4 15,2 41 157,982 42 15,8 43 142,182 44 26,838 45 46 47 26,838 ------ - 55 56 26 838 57 _ 58 59 GOa 6b 61 62 a D 2439 b D ""'~" c D "'"~'' d D '-'-7"'3--'--------I--+----...,:-:;---:--;:-;:--..!:I...~<J<:!.i111_~_64, 65,~6a, and 67 thr~ugh 7~hese are y_our~~'!.'_ paymencts,c...c_; :...: ;_.:...:...:...:...:...:...:...-+-'-'--+-------,,.:...,'""""""""" Refund 75 If line 74 is more than line 63. subtract line 63 from line 74. This is the amount you overpaid 76a Amount of line 75 you want refunded to you. If Form 8888 is attached, check here.. Direct deposit? ll> b Routing number 1 XXXXXXXXX 1 ll> c Type: 'xlchecking D Savings See ~ instructions. ll> d Account numberl XXXXXXXXXXXXXXXXX 1 77 Amount of line 75 you want applied to your 215 estimated tax ll> 77 Amount 78 Amount you owe. Subtract line 74 from line 63. _Fo. r_de.ta. ils. o. n_ h_ow_ t.o.pa. y. You Owe 79 1 se 7 e 9 i~structions Estimated tax penalty (see instructions). 1 Third Party Do you want to allow another person to discuss th1s return w1th the IRS (see 1nstruct1ons)?Oves. Complete below Designee Designee's Phone Personal identification name ll> no. ll> number (PIN) ll> 1 Paid PrinVType preparers name I Preparers signature I Date Check_W,_ifll PTIN Preparer self-employed Use Only Firm's name ll> 1 Firm's EIN ll> ~~-... ~~~ KIA www.lrs.govlform14 Form 14 (214) 216 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
4-3 216 Individual Income Taxes/Solutions Manual '- SCHEDULE A (Form 14) Itemized Deductions Department ot the Treasury Internal Revenue Sen.tice {99) "" Attach to Form 1 4. Name(s} shown on Form 14 DANTE I. Medical Caution. Do not include expenses reimbursed or paid by others. and 1 Medical and dental expenses (see instructions)... 1 Dental 2 Enter amount from Form 14, line 38... I 2 I 173,182 Expenses 3 Multiply line 2 by 1% (.1). ut if either you or your spouse was born before January 2, 195, multiply line 2 by 7.5% (.75) instead 3 4 Subtract line 3 from line 1. If line 3 is more than line 1, enter -- 4 Taxes You 5 State and local (check only one box): Paid a. Income taxes, or } b. General sales taxes 5 7' l co 6 Real estate taxes (see instructions) 6 1,8 7 Personal property taxes 7 6 8 Other taxes. List type and amount.. --------------- ----------------------------------- 8 9 Add lines 5 through 8 9 9, 5 Interest 1 Home mortgage interest and points reported to you on Form 198 1 4' 9 You Paid 11 Home mortgage interest not reported to you on Form 198. If paid to the person from whom you bought the home, see instructions and show that person's name, identifying no., and address"" Note. ----------------------------------- Your mortgage interest ----------------------------------- deduction may ----------------------------------- 11 be limited (see 12 Points not reported to you on Form 198. See instructions for instructions). special rules 12 13 Mortgage insurance premiums (see instructions) ~ r------- 14 Investment interest. Attach Form 4952 if required. (See instructions. 14 15 Add lines 1 through 14...... 15 4' 9 Gifts to 16 Gifts by cash or check. If you made any gift of $25 or more, Charity see instructions _1 _ 8 1------- If you made a 17 Other than by cash or check. If any gift of $25 or more, see gift and got a instructions. You must attach Form 8283 if over $5 17 1/ benefit for it, 18 Carryover from prior year 18 see instructions. 19 Add lines 16 through 18 19 8 Casualty and Theft Losses 2 Casualty or theft loss(es). Attach Form 4684. (See instructions.) 2 Job Expenses 21 Unreimbursed employee expenses-job travel, union dues, and Certain job education, etc. Attach Form 216 or 216-EZ if required. (See instructions.)"" Miscellaneous - - - - -- - - - - --- -- Deductions 21 Other Miscellaneous Deductions Total Itemized Deductions KIA OM No, 1545 74.. Information about Schedule A and its separate instructions is at www.irs.gov/schedulea. 214 Attachment Sequence No. 7 UTLER 111-11-1111 ---------------------------- --- --- 22 Tax preparation fees.. 22 23 Other expenses-investment, safe deposit box, etc. List type and amount.. ---------- --- --------- 23 ----------------------- --- ---- 24 Add lines 21 through 23 24 25 Enter amount from Form 14, line 38.. 'i 25 I. i i3', i82' 26 Multiply line 25 by 2% (.2) 26 27 Subtract line 26 from line 24. If line 26 is more than line 24, enter -- 28 Other-from list 1n mstrucllons. List type and arnount"" 29 Is Form 14, l1ne 38. over $152,525? O No. Your deduction is not limited. Add the amounts in the far right column for lines 4 through 28. Also, enter this amount on Form 14. line 4. Yes. Your deduction may be limited. See the Itemized Deductions Worksheet 1 the instructions to figure the amount to enter. 3 If you elect to itemize deductions even though they are less than your standard deduction, check here For Paperwork Reduction Act Notice, see Form 14 instructions. } l7,318 3,464.. 27 28 29 1.5,2 Schedule A (Form 14) 214 216 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Gross Income: Concepts and Inclusions 4-31 SCHEDULE OM No. 1545-74 (Form 14A or 14) Interest and Ordinary Dividends... Attach to Form 14A or 14. 214 Department of the Treasury... Information about Schedule and its instructions is a www.irs.gov/scheduleb. Attachment Internal Revenue Service (99) Sequence No. 8 Name(s) shown on return DANIEL UTLER 111-11-llll Part I 1 List name of payer. If any interest is from a seller-financed mortgage and the Amount buyer used the property as a personal residence. see instructions and list Interest this interest first. Also, show that buyer's social security number and address SECOND ANK... l, 6 CITY OF CORIN ONDS FIRST ANK 382 (See instructions for - Schedule 6, and the instructions lor Form 14A, or 1 Form 14, line Sa.) Note: It you received a Form 199-INT, Form 199-ID, or substitute ----------- -- ------------ statement!rom a brokerage firm, list the firm's name as the payer and enter 2 Add the amounts on line 1 i 2 1' 982 the total interest 3 Excludable interest on series EE and I U.S. savings bonds issued after 1989. shown on that Attach Form 8815 I 3 14, line 8a..... 4 1' 982 form. 4 Subtract line 3 from line 2. Enter the result here and on Form 14A, or Form Note: If line 4 is over $1,5, you must complete Part Ill. Amount Part II 5 List name of payer..,. -------- CSX ---- 4,2 Ordinary Dividends - - ---- -------!---- (See instructions for Schedule 6, and the instructions for Form 14A, or Form 14, line 9a.) ------- 5 Note: If you received a Form 199-DIV or substitute statement from a brokerage firm, list the firm's name as the payer and enter the ordinary dividends shown 6 Add the amounts on line 5. Enter the total here and on Form 1 4A, or Form on that form. 14 line 9a... 6 ~,2 Note. If line 6 is over $1,5, you must complete Part Ill. You must complete this part il you (a) had over $1,5 of taxable interest or ordinary dividends: (b) had a loreiqn account: or (c) received a distribution!rom, or were a qrantor of, or a transferor to, a foreign trust. Part Ill 7a At any time during 214, did you have a financial interest in or signature authority over a financial Foreign account (such as a bank account, securities account, or brokerage account) located in a foreign country? See instructions. It "Yes," are you required to tile FinCEN Form 114, Report ol Foreign ank and Financial Accounts Accounts (FAR), to report that financial interest or signature authority? See FinCEN Form 114 and Trusts and tts instructions lor filing requirements and exceptions to those requirements X b It you are required to tile FinCEN Form 114, enter the name of the foreign country where the (See instructions.) financial account is located..,. -- ---------------------------------------- 8 During 214, did you receive a distribution from, or were you the grantor of, or transferor to, a foreign trust? It "Yes," you may have to tile Form 352. See instructions... X KIA For Paperwork Reduction Act Not1ce, see your tax return mstruct1ons. Schedule (Form 14A or 14) 214 Yes No z 216 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part
4-32 216 Individual Income Taxes/Solutions Manual 58. Continued SCHEDULE E (Form 14) S I t 1 1 d L I OMS No. 1545 74 (From rental real estat~pofalt~~~rt~e~hip~;~~~ti~~. estat?s~t~usts, REMICs, etc.): 2 Q 14 II> Attach to Form 14, 14NR, or Form 141. j ~~~~:~~~~Z~~~e ;~-~~~~ry{99) Information about Schedule E and its se arate instructions is at www.irs. ovlschedu/ee. i ~~~~~~ceen~o. 13 Name(s) shown on return DANIE:- UTLER lll-11-1111 l!!!lj --Income or Loss From Re-ntal Real Estate and Royalties Note. i1 you are in -ih'; bus-;-n-;;;;-ot-;;;nt~ng-;-;~-;~.1 property.~;;;---- - schedule Cor C-EZ (see instructions). If you are an individual, report farm rental income or loss from Form 4835 on page 2, line 4. A Did you make any payments in 214 that would require you to file Form(s) 199? (see instructions) If ' Yes," did you or will you file all required Forms 1 99? 1a A c 1b A' Physical address of each property (street, city, state, ZIP code) Type of Property (from list below) -~---L - - - - ------- ----- - - Type of Property: 1 Single Family Residence 2 Multi-Family Residence 2 For each r ental real estate property listed above, report t he number of fair rental and personal use d ays. Check the QJV box only if you meet the r equirements to file as a qualified jomt venture. S ee instructions. ---- (A ( (C Fair Rental Days 3 Vacation/Short-Term Rental 5 Land 7 Self-Rental 4 Commercial 6 Royalties 8 Other (describe) ----------------------------~--------------------------------- --- Income: Properties: A - --- Personal Use Days 3 Rents received 3 4 Royalties received 4 Expenses: 5 Advertising 5 6 Auto and travel (see instructions) 6 ------- -- - ----- 7 Cleaning and maintenance 7 8 Commissions 8 9 Insurance Yes Yes ~.JL. r------------------- - ------ -- --------------- 1 Legal and other professional fees 1 11 Management fees 11 12 Mortgage interest paid to banks. etc. (see instructions) 12 13 Other interest 13 -- -- ------ ' 14 Repairs 14! 15 Supplies 15 16 Taxes 16 17 Utilities 17 ------- ----- - 18 Depreciation expense or depletion f-!!_ [-------------------- - --- -- ---- 19 Other(list).,.. ------------------------- ~- 6-- r----- 2 Total expenses. Add lines 5 through 19 2 21 Subtract line 2 from line 3 (rents) and/or 4 (royalties).. If result is a (loss). see Instructions to find out if you must file Form 6198... 21 22 Deductible rental real estate loss after limitation, if any. on Form 8582 (see instructions) 22 ( ) ( ) ( ) 23a Total of all amounts reported on line 3 for all rental properties 23a b Total of all amounts reported on line 4 for all royalty properties 23b c Total of all amounts reported on line 12 for all properties 23c d Total of all amounts reported on line 18 for all properties 23d e Total of all amounts reported on line 2 for all properties 23e 24 Income. Add positive amounts shown on line 21. Do not include any losses... _... _... 24 i 25 Losses. Add royalty losses from line 21 and rental real estate losses from line 22. Enter total losses here. ~- a) 26 Total rental real estate and royalty income or (loss). Combine lines 24 and 25. Enter the result here.! If Parts II. Ill. IV. and line 4 on page 2 do not apply to you, also enter this amount on Form 14, line 17. or Form 14NR, line 18. Otherwise. include this amount in the total on line 41 on page 2 I 26 l KIA For Paperwork Reduction Act Nottce, see the separate mstruct1ons. Schedule E (Form 14) 214 ' QJV c 216 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Gross Income: Concepts and Inclusions 4-33 Schedule E (Form 14) 214 Attachment Sequence No. 13 Page 2 Name(s) shown on return. Do not enter name and social security number if shown on page 1. I DAN=EL UTLER. 111-11-1111 Caution. The IRS com ares amounts re orted on our tax return with amounts shown on Schedules K-1. Part II Income or Loss From Partnerships and S Corporations Note. If you report a loss from an at-risk activity for which any amount is not at risk, you must check the box in column (e) on line 28 and attach Form 6198. See instructions. 27 Are you reporting any loss not allowed in a prior year due to the at-risk, excess farm loss, or basis limitations, a prior year unallowed loss from a passive activity (if that loss was not reported on Form 8582), or unreimbursed partnership expenses? If you answered "Yes," see instructions before completing this section. Yes No -- - -... -r(b) Enter P for (c) Check if (d) Employer (e) Check if 28 (a) Name partnership: S foreign Identification any amount is for S corporation partnership number not at risk A. -... falcon -... PARTNERSHIP " 12-1212121 _,......._ r--- :.. -------------- - -- --------!3_ f-- ---- c D Passive Income and Loss Nonpassive Income and Loss (f) Passive loss allowed (g) Passive 1ncome (h) Nonpassive loss (i) Section 179 expense (j) Nonpassive income (attach Form 8582 if requ~red) from Schedule K t from Schedule K-t deduct1on from Form 4562 from Schedule K-t A 7, c! D\ 29a Totals I 7, b Totals L 3 Add columns (g) and (j) of line 29a 3 7, 31 Add columns (f), (h), and (i) of line 29b.. 31 ( ) 32 Total partnership and S corporation income or (loss). Combine lines 3 and 31. Enter the result here and include in the total on line 41 below 32 7, [Part mj Income or Loss From Estates and Trusts 33 (a) Name A AI :.._.] Passive Income and Loss Nonpassive Income and Loss (b) Employer identification number (c) Passive deduction or loss allowed (d) Passive income (e) Deduction or loss (f) Other income from (atlach Form 8582 if required) from Schedule K-t from Schedule K 1 Schedule K t 34a Totals I b Totals I 35 Add columns (d) and (f) of line 34a 35 36 Add columns (c) and (e) of line 34b 36 ( ) 37 Total estate and trust income or (loss). Combine lines 35 and 36. Enter the result here and include in the total on line 41 below 37 I Part lvi Income or Loss From Real Estate Mortgage Investment Conduits (REMICs)-Residual Holder (b) Employer identification (c) Excess inclusion from (d) Taxable income (net loss) (e) Income from 38 (a) Name Schedules Q, line 2c number (see instructions) from Schedules Q, line 1 b Schedules Q, line 3b - I 39 Combine columns (d) and (e) only. Enter the result here and include in the total on line 41 below 39 I Part V I Summary 4 Net farm rental income or (loss) from Form 4835. Also, complete line 42 below 4 41 Total income or (loss). Combine lmes 26. 32, 37, 39. and 4. Enter the result here and on Form 14, lme 17, or Form 14NR. lme 18... 41 7, 42 Reconciliation of farming and fishing income. Enter your gross farming and fishing income reported on Form 4835, line 7; Schedule K-1 (Form 165). box 14. code ; Schedule K-1 (Form 112S), box 17, code V: and Schedule K-1 (Form 141), box 14, code F (see instructions) 42 L 43 Reconciliation for real estate professionals. If you were a real estate : professional (see instructions), enter the net income or (loss) you reported anywhere on Form 14 or Form 14NR from all rental real estate activities in which you materially participated under the passive activity loss rules 43 I KIA Schedule E (Form t 4) 2t4 216 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.