Assignment
Robert and Barbara Anderson are new clients to the firm. Robert is a consultant and Barbara is a homemaker.
Prepare their 2015 Federal income tax return. Robert and Barbara will be filing jointly and have the following personal information:
Taxpayers:
Robert Anderson Social Security: 556-48-8888 DOB: 1/17/1942
Barbara Anderson Social Security: 446-58-9999 DOB: 6/17/1956
Child:
Betsy Anderson Social Security: 123-88-9876 DOB: 1/5/1998
Address:
1234 Main Street
San Bernardino, CA 92401
They have given us the attached documents for their tax return. They have also supplied the following information (all items have proper documentation and substantiations):
Robert received a Schedule K-1 from Inland Consulting Inc., and Robert materially participated in the business for year.
Rental Property:
They bought and rented out a new residential property located at 3000 Main Street, San Bernardino, CA 92401 on 7/1/2014 for $280,000. The cost is broken down between land and building as follows:
Land $ 56,000
Building $224,000
They gave given us the following information related to the rental:
- Rental Income $12,000
- Repairs 220
- Mortgage Interest Expense 4,800
- Property Taxes 2,425
On their personal residence they paid $6,210 in property taxes and $10,050 in mortgage interest. On their autos, they paid $335 in DMV fees and the portion based on the value of the vehicles is $275. They made cash donations to the Autism Society of $10,000 and non-cash donations to Salvation Army of $350. They paid $1,520 to Franchise Tax Board on 4/15/2015 for the balance due on their 2014 California income tax return. They also made four equal payments of $2,000 each to the IRS for the tax year 2015 on 4/15/2015, 6/15/2015, 9/15/2015 and 12/15/2015 respectively. There is no overpayment applied from theprevious tax year. Do not calculatethe next year's estimated tax or any late filing or late payment penalty or interest, if applicable.