WEEK 3 Homework 1. Go to the www.irs.gov website 2. Print out a Form 1040, Schedule A, and instructions for this Schedule, under “Forms and Publications”. Print the most recent Schedule and Instructions available. 3. Complete



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WEEK 3 Homework 1. Go to the www.irs.gov website 2. Print out a Form 1040, Schedule A, and instructions for this Schedule, under “Forms and Publications”. Print the most recent Schedule and Instructions available. 3. Complete
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1.         Go to the  website

2.         Print out a Form 1040, Schedule A, and instructions for this Schedule, under “Forms and Publications”.   Print the most recent Schedule and Instructions available.

3.         Complete the Schedule A using the following facts:

June and Mike Baird are a married couple.   Together their Adjusted Gross Income is $150,000.   For 20XX, they had the following items or occurrences related to itemized or possible itemized deductions. All amounts are totals for the year:

a)     Mortgage interest on primary residence $6,000.  Mortgage amount $220,000.

b)     Property taxes, primary residence, $4,000

c)     Mortgage interest on vacation home, $4,000.  Mortgage amount $160,000

d)     Property tax on vacation home $4,000

e)     Doctors bills paid out of pocket, not covered by insurance, $2,100

f)      Prescription drugs paid out of pocket $800

g)     Health insurance premiums paid through employers and deducted from their gross income each week $2,400

h)     Over the counter medicines to treat Mike’s athlete’s foot, $300

i)      State income taxes withheld from paychecks $1,800

j)      State income taxes paid with their state return last year $400

k)     Total loss of car, not covered with comprehensive insurance so no insurance proceeds received. Paid $9,000 for the car used, at date of total loss, value was $4,800

l)      Wallet stolen at beach, containing $800

m)   Tax return preparation fees paid $200

n)     Investment counselor fees paid $400

o)     Cash gifts to church    $2,400

p)     Gifts of old clothing to Goodwill and Salvation Army, all donated August 31st, miscellaneous items listed by June as being worth $350

q)     Gift of appreciated Sherwin-Williams Company stock to the Church.  June had paid $1500 for the stock three years ago, and its value at date of gift (October 1) was $3,200

r)      Various gifts at the holiday season to needy individuals who use the church’s soup kitchen, $200

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