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Read the following letter and help Shady Slim with his tax situation. Please assume that his gross income is $174,760 which consists only of salary) for purposes of this problem. December 31,2022 To the friendly student tax preparer: Hi, it's Shady Slim again. I just got back from my 55 th birthday party, and I'm told that you need some more information from me in order to complete my tax return. I'm an open book! I'll tell you whatever I think you need to know. Let me tell you a few more things about my life. As you may recall, I am divorced from my wife, Alice. I know that it's unusual, but I have custody of my son, Shady Jr. The judge owed me a few favors and I really love the kid. He lives with me full time and my ex-wife gets him every other weekend. I pay the vast majority of my son's expenses. I think Alice should have to pay some child support, but she doesn't have to pay a dime. The Judge didn't owe me that much. I guess. I had to move this year after getting my job at Roca Cola. We moved on February 3 of this year, and I worked my job at Roca Cola for the rest of the year. I still live in the same state, but I moved 500 miles away from my old house. I hired a moving company to move our stuff at a cost of $2,360, and I drove Junior in my car. Junior and I got a hotel room along the way that cost us $65 (I love Super 81). Can you believe I'm still paying off my student loans, even after 15 years? I paid a total of $930 in interest on my old student loans this year. Remember when I told you about that guy that hit me with his car? I had a bunch of medical expenses that were not reimbursed by the lawsuit or by my insurance. I incurred a total of $20,600 in medical expenses, and I was only reimbursed for $11,300. Good thing I can write off medical expenses, right? I contributed a lot of money to charity this year (and have receipt documentation for all contributions). I'm such a nice guy! I gave $1,060 in cash to the March of Dimes. I contributed some of my old furniture to the church. It was some good stufff! contributed a red velvet couch and my old recliner. The fumiture is considered vintage and is worth $5,300 today (the contnoutea a rea veivet coucn and my oid reciner. ine turniture is considerea vintage ang is worth $. suU tooay (tne appraiser surprised mel), even though I only paid $1,060 for it back in the day. When I contributed the furniture, the pastor said he didn't like the fabric and was going to sell the furniture to pay for some more pews in the church. Oh well. some people just have no taste, right? Roca Cola had a charity drive for the United Way this year and I contributed $126. Turns out. I don't even miss it because Roca Cola takes it right off my paycheck every month... \$21 a month starting in July. My pay stub verifies that 1 contributed the $126 to the United Way. Oh, one other bit of charity from me this year, An old buddy of mine was down on his luck. He lost his job and his house. I gave him $530 to help him out. I paid a lot of money in interest this year. 1 paid a total of $1,010 in personal credit card interest. I also paid $20,160 in interest on my $560,000 home mortgage that helped me buy my dream home. I also paid $2,120 in real estate taxes for my new house. A few other things I want to tell you about this year. Someone broke into my house and stole my kid's brand new bicycle and my set of golf clubs. The total loss from theft was $960.1 paid $155 in union dues this year. I had to pay $1,200 for new suits for my job. Roca Cola requires its managers to wear suits every day on the job. I spent a fotal of $1,360 to pay for gas to commute to my job this year. Oh, this is pretty cool. Ive always wanted to be a firefighter. I spent $1,460 in tultion to go to the local firefighter's school, I did this because someone told me that I can deduct the tuition as an itemized deduction, so the money would be coming back to me. That should be all the information you need right now. Please calculate my taxable income and complete page 1 of Form 1040 (through taxable income, line 15) and Schedule A You're still doing this for free, right? a. Calculate the taxable income: Oh, this is pretty cool. I've always wanted to be a firefighter. I spent $1,460 in tuition to go to the local firefighte did this because someone told me that I can deduct the tuition as an itemized deduction, so the money would t. back to me. That should be all the information you need right now. Please calculate my taxable income and complete page 1 1040 (through taxable income, line 15) and Schedule A. You're still doing this for free, right? a. Calculate the taxable income. b. Complete pages 1 of Form 1040 (through taxable income, line 15) and Schedule A. Shady Slim's address is 19010 N.W. 135 th Street, Miaml, FL 33054. Social security numbers: Shady Slim: 123456789 Shady Slim,Jr: 222-22-2222 (Round your intermediate computations to the nearest whole dollar amount. Input all the values as positive numbers. Enter any non-financial information, (e.g. Nomes, Addresses, social security numbers) EXACTLY as they appear in any given information or Problem Statement. Use 2022 tax rules regardless of year on form.) Shady Slim does not wish to contribute to the Presidential Election Campaign fund or did not have any virtual currency transactions or interests. Form 1040 for a Head of household with one dependent. For Disclosure, Privacy Act, and Paperwoak Reduction Act Notice, see separate instructions. THIS FORM IS A SMULATION OF AN OFFICIAL U.5. TAX FORM. IT IS NOT THE OFFICIAL. FORM ITSELF. DO NOT USE THIS FORM FOR TAX FLLNOS OR FOR ANY PUAPOSE OTHER THAN EDUCATONAL. O 2022 MoGraw-Hill Education. b. Complete pages 1 of Form 1040 (through taxable income. line 15) and Schedule A. Shady Slim's address is 19010 N.W. 135 th Street, Miami, FL 33054. Social security numbers: Shady Slim: 123456789 - Shady Slim, Jri 222-22-2222 (Round your intermediate computations to the nearest whole dollar amount. Input all the values as positive numbers, Enter any non-financial informotion, (e.g. Names, Addresses, social security numbers) EXACTLY as they appear in any given information or Problem Statement. Use 2022 tax rules regardless of year on form.) Shady Slim does not wish to contribute to the Presidential Election Campaign fund or did not have any virtual currency transactions or interests. Form 1040 for a Head of household with one dependent. e Poins not reported to you on Form 1098. See instructions for special rules d Mortgage insurance premiums (see instructions) e Add lines 8 a through Bd 9 investment interest. Atach Form 4952 if required See instructions \begin{tabular}{|c|c|} \hline uc & \\ \hline 8c & \\ \hline 8d & \\ \hline 8e & \\ \hline 9 & \\ \hline \end{tabular} Gifts to Charity 10 Add lines 8e and 9 11 Gitts by cash or check. If you made any gift of $250 or more, see instruction 12 Other than by cash or chock if you made any gitt of $250 or more, see instnuctions. You must attach Form 8283 if over $500 Caution: If you made a gin and got a benent 13 Carryover from prior year for it, see instructions. 14 Add lines 11 through 13 Casualty and 15 Casualty and thef loss(es) from a federally declared disaster (other than net quaified disaster losses) Theft Losses Altach Foim 4684 and enter the amount from line 18 of that form See instructions Other 16 other-from list in instructions List type and amount itemized Deductions 17 Add the amouns in the far right column for inns 4 through 16. Aso, enter thes amount on Form 1040 or Total 1040SR, ane 12 Itemized Deductions 18 if you elect to litemize deductions even though they are less than your standard deduction. For Paperwork Reduction Act Notice, see the instructions for Forms 1040 and 1040-5R. Cat. No 17145C Schedule A (Form THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM. IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATONAL- 2022 MCGraw-Hill EdUCation

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