Description
This assignment requires you to complete four tax forms (Form 1040, Schedule 1, Schedule B, and Qualified Dividends and Capital Gain Tax Worksheet, using the provided taxpayer information. The forms provided are for tax year 2021.
Step 2: Download the blank forms on which to complete the assignment Blank Form 1040
Step 3: Complete Schedule B first, then Schedule 1, then Form 1040 down through Line 15. Then complete the Qual Div worksheet and use that information to complete the rest of the Form 1040
Step 4: Submit all 4 documents to complete the assignment.
Alexander Smith and his wife Allison are married and will file a joint tax return for 2021. The Smiths live at 1234 Buena Vista Drive, Orlando, FL 32830. Alexander is a commuter airline pilot but took 6 months off from his job in 2019 to obtain a higher-level pilot’s license. The Smiths have an 18-year-old son, Brad, who is enrolled in twelfth grade at the Walt Disney Prep School. The Smiths also have a 19-year-old daughter, Angelina, who is a part-time first-year student at Orange County Community College (OCCC). Angelina is married to Sean Shirker, who is 19 years old and also a part-time student at OCCC. Sean and Angelina have a 1-year-old child, Trask (Social Security number 115-45-7893). All the Shirkers live in an apartment near the Smiths. Angelina and Sean both also work part-time for Sean’s wealthy grandfather as apprentices in his business. The Shirker’s wages for the year were $50,000 which allowed them to pay all the personal expenses for themselves and Trask.
Name
Social Security number
Date of birth
Alexander Smith
266-15-1966
09/22/1970
Allison Smith
266-34-1967
07/01/1971
Brad Smith
261-55-2121
12/21/2002
Angelina Shirker
261-45-1212
03/31/2001
Sean Shirker
546-78-1235
05/01/2000
Trask Shirker
115-45-7893
10/21/2018
Five years ago, Alexander divorced Jennifer Amistad (Social Security number 341-55-6789). Alexander pays Jennifer $200 per month in alimony under the divorce decree.
Not included with the Smith’s tax forms was interest from State of Florida bonds of $145.00.
Alexander also received a Form W-2, Form 1099-INT, and Form 1099-DIV that you should have downloaded in Step 1 above.
CORRECTED (if checked)
PAYER’S name, street address, city or town, state or province, country, ZIP
or foreign postal code, and telephone no.
1a Total ordinary dividends
$
Disney Parking Corporation
1500 Reams Rd.
Lake Buena Vista, FL 32830
1,511.00
$
RECIPIENT’S TIN
57-4443344
266-34-1967
1,005.00
2b Unrecap. Sec. 1250 gain
$
$
2c Section 1202 gain
2d Collectibles (28%) gain
$
3
Allison Smith
$
5
Street address (including apt. no.)
$
1234 Buena Vista Drive
7
City or town, state or province, country, and ZIP or foreign postal code
Dividends and
Distributions
Form 1099-DIV
2a Total capital gain distr.
RECIPIENT’S name
4
Federal income tax withheld
$
100.00
Section 199A dividends
6
Investment expenses
Foreign tax paid
8
$
Foreign country or U.S. possession
$
9
Copy B
For Recipient
$
Nondividend distributions
Cash liquidation distributions 10 Noncash liquidation distributions
$
$
FATCA filing 11 Exempt-interest dividends
requirement
$
Account number (see instructions)
2021
1b Qualified dividends
PAYER’S TIN
Orlando FL 32830
OMB No. 1545-0110
12 Specified private activity
bond interest dividends
This is important tax
information and is
being furnished to
the IRS. If you are
required to file a
return, a negligence
penalty or other
sanction may be
imposed on you if
this income is taxable
and the IRS
determines that it has
not been reported.
$
13 State
14 State identification no. 15 State tax withheld
$
$
Form 1099-DIV
(keep for your records)
www.irs.gov/Form1099DIV
Department of the Treasury – Internal Revenue Service
CORRECTED (if checked)
PAYER’S name, street address, city or town, state or province, country, ZIP
or foreign postal code, and telephone no.
Orlando National Bank
9871 Disney Way
Orlando, FL 32801
OMB No. 1545-0112
Payer’s RTN (optional)
$
Interest
Income
2021
1 Interest income
1,475.88
Form 1099-INT
2 Early withdrawal penalty
PAYER’S TIN
$
RECIPIENT’S TIN
60-7654321
Copy B
266-15-1966
For Recipient
3 Interest on U.S. Savings Bonds and Treas. obligations
$
This is important tax
information and is
being furnished to the
7 Foreign country or U.S. possession
IRS. If you are
required to file a
return, a negligence
9 Specified private activity bond
penalty or other
interest
sanction may be
imposed on you if
$
this income is
11 Bond premium
taxable and the IRS
determines that it has
not been reported.
$
RECIPIENT’S name
4 Federal income tax withheld 5 Investment expenses
Alexander T. Smith
$
Street address (including apt. no.)
$
6 Foreign tax paid
1234 Buena Vista Drive
8 Tax-exempt interest
City or town, state or province, country, and ZIP or foreign postal code
Orlando, FL 32830
$
10 Market discount
$
FATCA filing $
requirement
12 Bond premium on Treasury obligations 13 Bond premium on tax-exempt bond
Account number (see instructions)
Form 1099-INT
(keep for your records)
$
$
14 Tax-exempt and tax credit
bond CUSIP no.
15 State 16 State identification no. 17 State tax withheld
www.irs.gov/Form1099INT
$
$
Department of the Treasury – Internal Revenue Service
a Employee’s social security number
266-15-1966
OMB No. 1545-0008
Safe, accurate,
FAST! Use
Visit the IRS website at
www.irs.gov/efile
b Employer identification number (EIN)
1 Wages, tips, other compensation
2 Federal income tax withheld
c Employer’s name, address, and ZIP code
3 Social security wages
4 Social security tax withheld
5 Medicare wages and tips
6 Medicare tax withheld
7 Social security tips
8 Allocated tips
9 Verification code
10 Dependent care benefits
68,162.00
Kissimmee Airlines, Inc.
2432 Bay Blvd.
Kissimmee, FL 34741
4,226.04
988.35
68,162.00
d Control number
e Employee’s first name and initial
6,010.00
64,890.00
60-3456789
Suff. 11 Nonqualified plans
Last name
12a See instructions for box 12
C
o
d
e
Alexander T. Smith
1234 Buena Vista Drive
Orlando, FL 32830
13
Statutory
employee
Retirement
plan
Third-party
sick pay
D
3,272.00
12b
C
o
d
e
12c
14 Other
C
o
d
e
12d
C
o
d
e
f Employee’s address and ZIP code
15 State
Employer’s state ID number
16 State wages, tips, etc.
17 State income tax
18 Local wages, tips, etc.
19 Local income tax
20 Locality name
FL
Form
and Tax
W-2 Wage
Statement
2021
Copy B—To Be Filed With Employee’s FEDERAL Tax Return.
This information is being furnished to the Internal Revenue Service.
Department of the Treasury—Internal Revenue Service
Form
1040 U.S. Individual Income Tax Return 2021
Filing Status
Check only
one box.
(99)
Department of the Treasury—Internal Revenue Service
Single
Married filing jointly
OMB No. 1545-0074
Married filing separately (MFS)
IRS Use Only—Do not write or staple in this space.
Head of household (HOH)
Qualifying widow(er) (QW)
If you checked the MFS box, enter the name of your spouse. If you checked the HOH or QW box, enter the child’s name if the qualifying
person is a child but not your dependent ▶
Your first name and middle initial
Last name
Your social security number
If joint return, spouse’s first name and middle initial
Last name
Spouse’s social security number
Home address (number and street). If you have a P.O. box, see instructions.
Apt. no.
City, town, or post office. If you have a foreign address, also complete spaces below.
Foreign country name
Presidential Election Campaign
Check here if you, or your
spouse if filing jointly, want $3
ZIP code
to go to this fund. Checking a
box below will not change
Foreign postal code your tax or refund.
State
Foreign province/state/county
At any time during 2021, did you receive, sell, exchange, or otherwise dispose of any financial interest in any virtual currency?
Standard
Deduction
Were born before January 2, 1957
(1) First name
If more
than four
dependents,
see instructions
and check
here ▶
• Single or
Married filing
separately,
$12,550
• Married filing
jointly or
Qualifying
widow(er),
$25,100
• Head of
household,
$18,800
• If you checked
any box under
Standard
Deduction,
see instructions.
Spouse:
Are blind
Dependents (see instructions):
Standard
Deduction for—
Spouse
Yes
No
Someone can claim:
You as a dependent
Your spouse as a dependent
Spouse itemizes on a separate return or you were a dual-status alien
Age/Blindness You:
Attach
Sch. B if
required.
You
(2) Social security
number
Last name
Was born before January 2, 1957
(4) ✔ if qualifies for (see instructions):
Child tax credit
Credit for other dependents
(3) Relationship
to you
1
Wages, salaries, tips, etc. Attach Form(s) W-2
2a
3a
4a
Tax-exempt interest .
Qualified dividends .
IRA distributions . .
5a
6a
7
Pensions and annuities . .
5a
b Taxable amount .
Social security benefits . .
6a
b Taxable amount .
Capital gain or (loss). Attach Schedule D if required. If not required, check here
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8
9
10
11
Other income from Schedule 1, line 10 . . . . . . . .
Add lines 1, 2b, 3b, 4b, 5b, 6b, 7, and 8. This is your total income
Adjustments to income from Schedule 1, line 26
. . . . .
Subtract line 10 from line 9. This is your adjusted gross income
12a
b
Standard deduction or itemized deductions (from Schedule A)
. .
Charitable contributions if you take the standard deduction (see instructions)
c
13
14
15
Add lines 12a and 12b . . . . . . . . . . . . . . .
Qualified business income deduction from Form 8995 or Form 8995-A .
Add lines 12c and 13
. . . . . . . . . . . . . . .
Taxable income. Subtract line 14 from line 11. If zero or less, enter -0- .
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2a
3a
4a
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For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions.
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12c
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b Taxable interest
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b Ordinary dividends .
b Taxable amount . .
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Is blind
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12b
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Cat. No. 11320B
15
Form 1040 (2021)
Page 2
Form 1040 (2021)
If you have a
qualifying child,
attach Sch. EIC.
Refund
16
17
Tax (see instructions). Check if any from Form(s): 1
8814
Amount from Schedule 2, line 3
. . . . . . . .
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18
19
20
Add lines 16 and 17 . . . . . . . . . . . . . . . . . . .
Nonrefundable child tax credit or credit for other dependents from Schedule 8812
Amount from Schedule 3, line 8
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21
22
23
Add lines 19 and 20 . . . . . . . . . . . . . . .
Subtract line 21 from line 18. If zero or less, enter -0- . . . . .
Other taxes, including self-employment tax, from Schedule 2, line 21
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24
25
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a
Add lines 22 and 23. This is your total tax
Federal income tax withheld from:
Form(s) W-2 . . . . . . . . .
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25a
b
c
d
Form(s) 1099 . . . . . .
Other forms (see instructions) .
Add lines 25a through 25c . .
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4972 3
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24
25b
25c
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25d
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26
▶
32
33
34
26
27a
2021 estimated tax payments and amount applied from 2020 return . .
Earned income credit (EIC) . . . . . . . . . . . . . .
Check here if you were born after January 1, 1998, and before
January 2, 2004, and you satisfy all the other requirements for
taxpayers who are at least age 18, to claim the EIC. See instructions ▶
b
c
28
Nontaxable combat pay election . . . .
27b
Prior year (2019) earned income . . . .
27c
Refundable child tax credit or additional child tax credit from Schedule 8812
29
30
31
32
33
American opportunity credit from Form 8863, line 8 . . . . . . .
29
Recovery rebate credit. See instructions . . . . . . . . . .
30
Amount from Schedule 3, line 15 . . . . . . . . . . . .
31
Add lines 27a and 28 through 31. These are your total other payments and refundable credits
Add lines 25d, 26, and 32. These are your total payments
. . . . . . . . . . .
34
If line 33 is more than line 24, subtract line 24 from line 33. This is the amount you overpaid
35a
▶b
Direct deposit?
See instructions. ▶
d
36
. .
27a
28
Amount of line 34 you want refunded to you. If Form 8888 is attached, check here .
▶ c Type:
Routing number
Checking
Account number
Amount of line 34 you want applied to your 2022 estimated tax . . ▶
36
.
▶
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35a
▶
Savings
37
Amount you owe. Subtract line 33 from line 24. For details on how to pay, see instructions
. ▶
37
Amount
You Owe 38 Estimated tax penalty (see instructions) . . . . . . . . . ▶
38
Third Party Do you want to allow another person to discuss this return with the IRS? See
instructions
. . . . . . . . . . . . . . . . . . . . ▶
Yes. Complete below.
Designee
Designee’s
name ▶
Sign
Here
Paid
Preparer
Use Only
No
Personal identification
number (PIN) ▶
Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and
belief, they are true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.
Date
Your occupation
If the IRS sent you an Identity
Protection PIN, enter it here
(see inst.) ▶
Spouse’s signature. If a joint return, both must sign.
Date
Spouse’s occupation
If the IRS sent your spouse an
Identity Protection PIN, enter it here
(see inst.) ▶
Phone no.
Preparer’s name
Email address
Your signature
▲
Joint return?
See instructions.
Keep a copy for
your records.
Phone
no. ▶
Preparer’s signature
Date
PTIN
Check if:
Self-employed
Firm’s name
▶
Firm’s address ▶
Go to www.irs.gov/Form1040 for instructions and the latest information.
Phone no.
Firm’s EIN ▶
Form 1040 (2021)
SCHEDULE 1
Attachment
Sequence No. 01
▶ Go to www.irs.gov/Form1040 for instructions and the latest information.
Your social security number
Name(s) shown on Form 1040, 1040-SR, or 1040-NR
1
2021
▶ Attach to Form 1040, 1040-SR, or 1040-NR.
Department of the Treasury
Internal Revenue Service
Part I
OMB No. 1545-0074
Additional Income and Adjustments to Income
(Form 1040)
Additional Income
Taxable refunds, credits, or offsets of state and local income taxes . . . . . . .
1
2a Alimony received . . . . . . . . . . . . . . . . . . . . . . . . . . .
2a
b Date of original divorce or separation agreement (see instructions) ▶
3
Business income or (loss). Attach Schedule C
. . . . . . . . . . . . . . .
3
4
Other gains or (losses). Attach Form 4797 . . . . . . . . . . . . . . . . .
4
5
Rental real estate, royalties, partnerships, S corporations, trusts, etc. Attach
Schedule E . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5
6
Farm income or (loss). Attach Schedule F . . . . . . . . . . . . . . . . .
6
7
Unemployment compensation . . . . . . . . . . . . . . . . . . . . . .
7
8
Other income:
a Net operating loss
. . . . . . . . . . . . . . . . . .
8a (
b Gambling income . . . . . . . . . . . . . . . . . . .
8b
c Cancellation of debt . . . . . . . . . . . . . . . . . .
8c
d Foreign earned income exclusion from Form 2555
8d (
. . . . .
e Taxable Health Savings Account distribution . . . . . . . .
8e
f Alaska Permanent Fund dividends . . . . . . . . . . . .
8f
g Jury duty pay
8g
. . . . . . . . . . . . . . . . . . . .
h Prizes and awards
i
. . . . . . . . . . . . . . . . . .
8i
j Stock options . . . . . . . . . . . . . . . . . . . .
k Income from the rental of personal property if you engaged in
the rental for profit but were not in the business of renting such
property . . . . . . . . . . . . . . . . . . . . . .
8j
l
8k
Olympic and Paralympic medals and USOC prize money (see
instructions) . . . . . . . . . . . . . . . . . . . . .
8l
m Section 951(a) inclusion (see instructions) . . . . . . . . .
8m
n Section 951A(a) inclusion (see instructions)
. . . . . . . .
8n
o Section 461(l) excess business loss adjustment . . . . . . .
8o
p Taxable distributions from an ABLE account (see instructions) .
8p
z Other income. List type and amount ▶
9
10
8z
Total other income. Add lines 8a through 8z . . . . . . . . . . . . . . . .
Combine lines 1 through 7 and 9. Enter here and on Form 1040, 1040-SR, or
1040-NR, line 8 . . . . . . . . . . . . . . . . . . . . . . . . . . .
For Paperwork Reduction Act Notice, see your tax return instructions.
)
8h
. . . . . . . . .
Activity not engaged in for profit income
)
Cat. No. 71479F
9
10
Schedule 1 (Form 1040) 2021
Page 2
Schedule 1 (Form 1040) 2021
Part II Adjustments to Income
11
Educator expenses . . . . . . . . . . . . . . . . . . . . . . . . . .
11
12
Certain business expenses of reservists, performing artists, and fee-basis government
officials. Attach Form 2106 . . . . . . . . . . . . . . . . . . . . . . .
12
13
Health savings account deduction. Attach Form 8889 . . . . . . . . . . . .
13
14
Moving expenses for members of the Armed Forces. Attach Form 3903 . . . . .
14
15
Deductible part of self-employment tax. Attach Schedule SE
. . . . . . . . .
15
16
Self-employed SEP, SIMPLE, and qualified plans . . . . . . . . . . . . . .
16
17
Self-employed health insurance deduction . . . . . . . . . . . . . . . . .
17
18
Penalty on early withdrawal of savings
. . . . . . . . . . . . . . . . . .
18
19a Alimony paid . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19a
b Recipient’s SSN
. . . . . . . . . . . . . . . . . . . . ▶
c Date of original divorce or separation agreement (see instructions) ▶
20
IRA deduction . . . . . . . . . . . . . . . . . . . . . . . . . . . .
20
21
Student loan interest deduction . . . . . . . . . . . . . . . . . . . . .
21
22
Reserved for future use
. . . . . . . . . . . . . . . . . . . . . . . .
22
23
Archer MSA deduction . . . . . . . . . . . . . . . . . . . . . . . . .
23
24
Other adjustments:
a Jury duty pay (see instructions) . . . . . . . . . . . . .
24a
b Deductible expenses related to income reported on line 8k from
the rental of personal property engaged in for profit . . . . . 24b
c Nontaxable amount of the value of Olympic and Paralympic
medals and USOC prize money reported on line 8l . . . . . 24c
d Reforestation amortization and expenses . . . . . . . . .
24d
e Repayment of supplemental unemployment benefits under the
Trade Act of 1974 . . . . . . . . . . . . . . . . . . . 24e
f Contributions to section 501(c)(18)(D) pension plans . . . . .
24f
g Contributions by certain chaplains to section 403(b) plans
24g
. .
h Attorney fees and court costs for actions involving certain
unlawful discrimination claims (see instructions) . . . . . . 24h
i Attorney fees and court costs you paid in connection with an
award from the IRS for information you provided that helped the
IRS detect tax law violations . . . . . . . . . . . . . .
24i
j
Housing deduction from Form 2555
. . . . . . . . . . .
24j
k Excess deductions of section 67(e) expenses from Schedule K-1
(Form 1041) . . . . . . . . . . . . . . . . . . . . . 24k
z Other adjustments. List type and amount ▶
25
26
24z
Total other adjustments. Add lines 24a through 24z . . . . . . . . . . . . .
Add lines 11 through 23 and 25. These are your adjustments to income. Enter
here and on Form 1040 or 1040-SR, line 10, or Form 1040-NR, line 10a . . . . .
25
26
Schedule 1 (Form 1040) 2021
SCHEDULE B
Department of the Treasury
Internal Revenue Service (99)
1
Interest
2021
▶ Go to www.irs.gov/ScheduleB for instructions and the latest information.
▶ Attach to Form 1040 or 1040-SR.
Attachment
Sequence No. 08
Your social security number
Name(s) shown on return
Part I
OMB No. 1545-0074
Interest and Ordinary Dividends
(Form 1040)
Amount
List name of payer. If any interest is from a seller-financed mortgage and the
buyer used the property as a personal residence, see the instructions and list this
interest first. Also, show that buyer’s social security number and address ▶
(See instructions
and the
Instructions for
Form 1040, line
2b.)
Note: If you
received a Form
1099-INT, Form
1099-OID, or
substitute
statement from
a brokerage firm,
list the firm’s
name as the
payer and enter
the total interest
shown on that
form.
Part II
1
2
3
Add the amounts on line 1 . . . . . . . . . . . . . . . . . . .
Excludable interest on series EE and I U.S. savings bonds issued after 1989.
Attach Form 8815 . . . . . . . . . . . . . . . . . . . . . .
4
Subtract line 3 from line 2. Enter the result here and on Form 1040 or 1040-SR,
line 2b . . . . . . . . . . . . . . . . . . . . . . . . ▶
Note: If line 4 is over $1,500, you must complete Part III.
List name of payer ▶
5
2
3
4
Amount
Ordinary
Dividends
(See instructions
and the
Instructions for
Form 1040, line
3b.)
Note: If you
received a Form
1099-DIV or
substitute
statement from
a brokerage firm,
list the firm’s
name as the
payer and enter
the ordinary
dividends shown
on that form.
Part III
Foreign
Accounts
and Trusts
Caution: If
required, failure
to file FinCEN
Form 114 may
result in
substantial
penalties. See
instructions.
5
Add the amounts on line 5. Enter the total here and on Form 1040 or 1040-SR,
line 3b . . . . . . . . . . . . . . . . . . . . . . . . ▶
6
Note: If line 6 is over $1,500, you must complete Part III.
You must complete this part if you (a) had over $1,500 of taxable interest or ordinary dividends; (b) had a
foreign account; or (c) received a distribution from, or were a grantor of, or a transferor to, a foreign trust.
6
7a
Yes No
At any time during 2021, did you have a financial interest in or signature authority over a financial
account (such as a bank account, securities account, or brokerage account) located in a foreign
country? See instructions . . . . . . . . . . . . . . . . . . . . . . . .
If “Yes,” are you required to file FinCEN Form 114, Report of Foreign Bank and Financial
Accounts (FBAR), to report that financial interest or signature authority? See FinCEN Form 114
and its instructions for filing requirements and exceptions to those requirements . . . . . .
b If you are required to file FinCEN Form 114, enter the name of the foreign country where the
financial account is located ▶
8
During 2021, did you receive a distribution from, or were you the grantor of, or transferor to, a
foreign trust? If “Yes,” you may have to file Form 3520. See instructions . . . . . . . . .
For Paperwork Reduction Act Notice, see your tax return instructions.
Cat. No. 17146N
Schedule B (Form 1040) 2021
Qualified Dividends and Capital Gain Tax Worksheet—Line 16
Keep for Your Records
Before you begin:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
See the earlier instructions for line 16 to see if you can use this worksheet to figure your tax.
Before completing this worksheet, complete Form 1040 or 1040-SR through line 15.
If you don’t have to file Schedule D and you received capital gain distributions, be sure you checked the box
on Form 1040 or 1040-SR, line 7.
Enter the amount from Form 1040 or 1040-SR, line 15. However, if you are
filing Form 2555 (relating to foreign earned income), enter the amount from
line 3 of the Foreign Earned Income Tax Worksheet . . . . . . . . . . . . . . . . . . . . . . 1.
Enter the amount from Form 1040 or 1040-SR,
line 3a* . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2.
Are you filing Schedule D?*
Yes. Enter the smaller of line 15 or 16 of
Schedule D. If either line 15 or 16 is blank
or a loss, enter -0-.
3.
No. Enter the amount from Form 1040 or
1040-SR, line 7.
Add lines 2 and 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4.
Subtract line 4 from line 1. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . . . 5.
Enter:
$40,400 if single or married filing separately,
$80,800 if married filing jointly or qualifying widow(er),
. . . . . . . . . . . . 6.
$54,100 if head of household.
Enter the smaller of line 1 or line 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.
Enter the smaller of line 5 or line 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.
Subtract line 8 from line 7. This amount is taxed at 0% . . . . . . . . . . . . . . . . . . . . 9.
Enter the smaller of line 1 or line 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.
Enter the amount from line 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11.
Subtract line 11 from line 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12.
Enter:
$445,850 if single,
$250,800 if married filing separately,
. . . . . . . . . . . . 13.
$501,600 if married filing jointly or qualifying widow(er),
$473,750 if head of household.
Enter the smaller of line 1 or line 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14.
Add lines 5 and 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15.
Subtract line 15 from line 14. If zero or less, enter -0- . . . . . . . . . . . . . . . . . . . . . 16.
Enter the smaller of line 12 or line 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17.
Multiply line 17 by 15% (0.15) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18.
Add lines 9 and 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19.
Subtract line 19 from line 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20.
Multiply line 20 by 20% (0.20) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21.
Figure the tax on the amount on line 5. If the amount on line 5 is less than $100,000, use the Tax Table
to figure the tax. If the amount on line 5 is $100,000 or more, use the Tax Computation
Worksheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
22.
Add lines 18, 21, and 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
23.
Figure the tax on the amount on line 1. If the amount on line 1 is less than $100,000, use the Tax Table
to figure the tax. If the amount on line 1 is $100,000 or more, use the Tax Computation
Worksheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
24.
Tax on all taxable income. Enter the smaller of line 23 or 24. Also include this amount on the entry
space on Form 1040 or 1040-SR, line 16. If you are filing Form 2555, don’t enter this amount on the
entry space on Form 1040 or 1040-SR, line 16. Instead, enter it on line 4 of the Foreign Earned Income
Tax Worksheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
25.
* If you are filing Form 2555, see the footnote in the Foreign Earned Income Tax Worksheet before completing this line.
Need more information or forms? Visit IRS.gov.
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