- Use the following information to complete Phillip and Claire Dunphy’s 2012 federal income tax return. If information is missing, use inexpensive assumptions to fill throughout the gaps. Ignore the selection minimal tax for this downside.
- Any required varieties, schedules, and instructions is perhaps found on the IRS Web site on-line (www.irs.gov). The instructions is perhaps helpful in ending the varieties. The subsequent varieties are required:
o Schedule C
o Schedule D
o Kind 4562
o Kind 4797
o Kind 8949
o Schedule SE
· AMT (numerous minimal tax) is NOT part of this Enterprise; You do NOT should calculate AMT!!!
· Moreover, you do NOT must depreciate the Artwork work
- Phillip and Claire are married and file a joint return. Phillip is self-employed as an precise property agent, and Claire is a flight attendant. Phillip and Claire have three dependent kids. All three kids reside at dwelling with Phillip and Claire for the whole 12 months.
The Dunphys give you the following additional information:
- The Dunphys needn’t contribute to the presidential election advertising marketing campaign.
- The Dunphys reside at 3701 Brighton Avenue, Los Angeles, CA 90018.
- Phillip’s birthday is 11/5/1965 and his Social Security amount is 321-44-5766.
- Claire’s birthday is 5/12/1968 and her Social Security amount is 567-77-1258.
- Haley’s birthday is 11/6/1999 and his Social Security amount is 621-18-7592.
- Alex’s birthday is 2/1/2001 and her Social Security amount is 621-92-8751.
- Luke’s birthday is 12/12/2005 and his Social Security amount is 621-99-9926.
- The Dunphys have no worldwide monetary establishment accounts or trusts.
Insurance coverage protection on office contents
Miscellaneous office expense
Utilities and cellphone
To be calculated
On March 20, Phillip moved his enterprise out of the outdated workplaces at 1103 Allium Lane proper right into a newly constructed and equipped office on Grove Avenue. Phillip provided the outdated office establishing and all its furnishings. Phillip’s expenditures for the model new office establishing are as follows:
Phillip computes his worth restoration allowance using MACRS. He need to use the §179 fast expensing, nonetheless he has elected to not declare any bonus depreciation. Phillip has certainly not claimed §179 or bonus depreciation sooner than. The property Phillip provided on March 20 are as follows:
Product sales Price
Accrued Depreciation as of Beginning of the Yr
Phillip has certainly not provided any property concerning his enterprise sooner than this transaction.
- The Dunphys provided 60 shares of Fizbo Firm widespread stock on September three, for $65 a share (minus a $50 complete price). The Dunphys purchased the stock on November eight, 2010, for $90 a share. Moreover they provided a painting for $13,000 on March 1. Claire purchased the painting for $20,zero50 on September 1, 2004, as an funding.
- The Dunphys filed their 2011 federal, state, and native returns on April 14, 2012. They paid the following additional 2011 taxes with their returns: federal income taxes of $630, state income taxes of $250, and metropolis income taxes of $75.
- The Dunphys made nicely timed estimated federal income tax funds of $16,000 each quarter all through 2012. Moreover they made estimated state income tax funds of $1,000 each quarter and estimated metropolis income tax funds of $300 each quarter. The Dunphys made all fourth-quarter funds on December 31, 2012. They need to get hold of a refund for any overpayments.