Question

Jose and Maria Suarez are married and live at 9876 Main Street, Denver, CO 80205. Jose's SSN is 412-34-5670 and Maria's SSN is 412-34-5671. For the first five months of the year, Jose was employed by Mountain Mortgage Company. The Form W-2 from Mountain Mortgage contained information in the following boxes: Wages (box 1) - $35,028.52 Federal W/H (box 2) = $ 3,746.89 Social security wages (box 3) = $35,028.52 Social security W/H (box 4) = $ 2,171.77 Medicare wages (box 5) = $35,028.52 Medicare W/H (box 6) = $ 507.91 Jose was laid off from his job at Mountain Mortgage and was unemployed for three months. He received $1,000 of unemployment insurance payments. The Form 1099-G Jose received from the state of Colorado contained $1,000 of unemployment compensation in box 1 and $100 of federal income tax withholding in box 4. During the last four months of the year, Jose was employed by First Mountain Bank in Denver. The Form W-2 Jose received from the bank contained information in the following boxes: Wages (box 1) = $17,820.20 Federal W/H (box 2) = $ 1,767.89 Social security wages (box 3) = $17,820.20 Social security W/H (box 4) = $ 1,104.85 Medicare was (box 5) = $17,820.20 Medicare W/H (box 6) = $ 258.39 Maria was employed the entire year by Blue Sky Properties in Denver. The Form W-2 Maria received from Blue Sky contained information in the following boxes: Wages (box 1) = $52,455.05 Federal W/H (box 2) = $ 4,786.82 Social security wages (box 3) = $52,455.05 Social security W/H (box 4) = $ 3,252.21 Medicare wages (box 5) = $52,455.05 Medicare W/H (box 6) = $ 760.60 The Suarezes also received two Forms 1099-INT showing interest they received on two savings accounts. One Form 1099-INT, from the First National Bank of Northeastern Denver, showed interest income of $59.36 in box 1. The other Form 1099-INT, from Second National Bank of Northwestern Denver, showed interest income of $82.45 in box 1.
If the print is too small I have provided them here as well;

Jose and Maria Suarez are married and live at 9876 Main Street, Denver, CO 80205. Jose’s SSN is 412-34-5670 and Maria’s SSN is 412-34-5671.

For the first five months of the year, Jose was employed by Mountain Mortgage Company. The Form W-2 from Mountain Mortgage contained information in the following boxes:

Wages (box 1)	=	$	35,028.52
Federal W/H (box 2)	=	$	3,746.89
Social security wages (box 3)	=	$	35,028.52
Social security W/H (box 4)	=	$	2,171.77
Medicare wages (box 5)	=	$	35,028.52
Medicare W/H (box 6)	=	$	507.91

Jose was laid off from his job at Mountain Mortgage and was unemployed for three months. He received $1,000 of unemployment insurance payments. The Form 1099-G Jose received from the state of Colorado contained $1,000 of unemployment compensation in box 1 and $100 of federal income tax withholding in box 4.

During the last four months of the year, Jose was employed by First Mountain Bank in Denver. The Form W-2 Jose received from the bank contained information in the following boxes:

Wages (box 1)	=	$	17,820.20
Federal W/H (box 2)	=	$	1,767.89
Social security wages (box 3)	=	$	17,820.20
Social security W/H (box 4)	=	$	1,104.85
Medicare wages (box 5)	=	$	17,820.20
Medicare W/H (box 6)	=	$	258.39

Maria was employed the entire year by Blue Sky Properties in Denver. The Form W-2 Maria received from Blue Sky contained information in the following boxes:

Wages (box 1)	=	$	52,455.05
Federal W/H (box 2)	=	$	4,786.82
Social security wages (box 3)	=	$	52,455.05
Social security W/H (box 4)	=	$	3,252.21
Medicare wages (box 5)	=	$	52,455.05
Medicare W/H (box 6)	=	$	760.60

The Suarezes also received two Forms 1099-INT showing interest they received on two savings accounts. One Form 1099-INT, from the First National Bank of Northeastern Denver, showed interest income of $59.36 in box 1. The other Form 1099-INT, from Second National Bank of Northwestern Denver, showed interest income of $82.45 in box 1.

Jose and Maria had qualifying health care coverage at all times during the tax year.

Required:

Prepare a Form 1040 for Mr. and Mrs. Suarez. (List the names of the taxpayers in the order in which they appear in the problem. Input all the values as positive numbers. Do not round intermediate computations. Round your final answers to the nearest whole dollar amount.)

Answer 1

Form-W2

Information from Form W-2, Wage and Tax Statement Maximum SS Tax Earnings: $1,32,900.00 SS Tax Rate: 6.2% Max. SS Ta Employer #3 Employer #4 Employer #5 Employer #6 Total Excess Jose Suarez Wages, tips, other compensation Federal income tax withheld Social security wages Social security tax withheld Medicare wages and tips Medicare tax withheld Social Security Tips Allocated Tips Dependent Care Benefits Nonqualified plans See instructions for box 12 Employer #1 35,028.52 3,746.89 35,028.52 2.171.77 35,028.52 507.91 Employer #2 17,820.20 1,767.89 17,820.20 1,104.85 17,820.20 258.39 0.00 1 2 3 4 5 6 7 8 10 11 12a 12b 12c 12d 13 14 14 14 16 17 18 19 52,848.72 5,514.78 52,848.72 3,276.62 52,848.72 766.30 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Stat Emp/Retire / 3rd Party Sick Other Railroad retire (RRTA) compensation RRTA medicare tax withheld (see Form CT-2) State wages, tips, etc. State income tax Local wages, tips, etc. Local income tax 0.00 0.00 0.00 0.00 0.00 Information from Form W-2, Wage and Tax Statement Maria Suarez Employer #2 Employer #3 Employer #4 Employer #5 Employer #6 Total Excess 1 2 3 4 5 6 7 8 0.00 Employer #1 52,455.05 4,786.82 52.455.05 3,252.21 52,455.05 760.60 Wages, tips, other compensation Federal income tax withheld Social security wages Social security tax withheld Medicare wages and tips Medicare tax withheld Social Security Tips Allocated Tips 52,455.05 4,786.82 52,455.05 3.252.21 52,455.05 760.60 0.00 0.00

Form - 1099-G

Form 1099-G, Certain Government Payments Payer #2 Payer #3 Payer #4 Payer #5 Payer #1 State of Colorado Jose Suarez & Maria Suarez PAYER's name PAYER's TIN Account number 1 Unemployment Compensation 2 State local income tax refunds, credits, offsets 3 Box 2 amount is for tax year 4 Federal income tax withheld 5 RTAA Payments 1,000.00 100.00

Form-1099-INT

Information from Form 1099-INT, Interest Income Payer #3 Payer #4 Payer #5 Jose Suarez and Maria Suarez Payer #1 Payer #2 PAYER's name First National Bank, Denver Second National Bank, Denver PAYER's Federal ID number Account number 1 Interest income 59.36 82.45 2 Early withdrawal penalty 3 Interest on U.S. Savings Bonds & Treas. Obligations 3A Include Line 3 on Schedule B, Line 1? (Y/N). N N 4 Federal income tax withheld 5 Investment expenses 6 Foreign tax paid 7 Foreign country or U.S. possession 8 Tax-exempt interest ASSA N N N

Form-1040

1040 2019 Filing Status Check only one box Department of the Treasury—Internal Revenue Service (99) U.S. Individual Income Tax Return OMB No. 1545-0074 IRS Use Only Do not write or staple in this space. Single |x Married filing jointly | Married filing separately (MFS) Head of Household (HOH) Qualifying Widow(er) (Qw) If you checked the MFS box, enter the name of 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 Suarez Your social security number 412-34-5670 Jose If joint return, spouse's first name and middle initial Maria Last name Suarez Home address (number and street). If you have a P.O. box, see instructions. Apt. no. 9876 Main Street City, town or post office, state, and ZIP code. If you have a foreign address, also complete spaces below (see instructions). Denver, CO 80205 Foreign country name Foreign province/state/county Foreign postal code Spouse's social security number 412-34-5671 Presidential Election Campaign Check here if you, or your spouse if filing jointly, want $3 to go to this fund. Checking a box below will not change your tax or refund. You Spouse If more than four dependents, see instructions and here ► Someone can claim: You as a dependent Your spouse as a dependent Standard Deduction Spouse itemizes on a separate return or you were a dual-status alien Age / Blindness You: Were born before January 2, 1955 Are blind Spouse: Was born before January 2, 1955 Is blind (2) Social security number (3) Relationship to you Dependents (see instructions): (1) First name Last name (4) if qualified for (see instructions): Child Tax Credit Credit for other dependents Standard 1 Wages, salaries, tips, etc. Attach Form(s) W-2 1 1,05,304 Deduction for -- 2 a Tax-exempt interest. 2a 0 b Taxable interest. Attach Sch. B. if req'd. 2b 142 • Single or married 3 a Qualified dividends. . 3a 0 b Ordinary dividends. Attach Sch B. if req'd 3b 0 $12,200 4 a IRA Distributions 4a b Taxable amount 4b 0 • Married fiing C Pensions and annuities. 4c d Taxable amount 4d 0 jointly or Qualifying 5 a Social security benefits 5a 0 b Taxable amount 5b 0 6 widow(er) 6 Capital gain or loss). Attach Schedule D if required. If not required, check here $24,400 7 a Other income from Schedule 1, line 9 7a 1,000 • Head of b Add lines 1, 2b, 3b, 45, 40, 56, 6, and 7a. This is your total income 7b 1,06,446 household 8 a Adjustments to income from Schedule 1, line 22. . 8a 0 $18,350 b Subtract line 8a from line 7b. This is your adjusted gross income. 8b 1,06,446 • If you checked 9 Standard deduction or itemized deductions (from Schedule A) 9 24,400 any box under 10 Qualified business income deduction. Attach Form 8995 or Form 8995-A. 10 Standard Deduction, 11 a Add lines 9 and 10. 11a 24,400 see instructions b Taxable income. Subtract lines 11a from line 8b. If zero or less, enter-O- 11b 82,046 For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. Cat No. 11320B Form 1040 (2019) Form 1040 (2019) Page 2 12 a Tax (see inst) Check if any from Form(s 11 88142 4972 3 12a 9,763 b Add Schedule 2, line 3, and line 12a and enter the total . ► 12b 9,763 13 a Child tax credit or credit for other dependents.... 13a b Add Schedule 3, line 7, and line 13a and enter the total 13b 0 14 Subtract line 13b from line 12b. If zero or less, enter.-0. 14 9,763 15 Other taxes, including self-employment tax, from Schedule 2, line 10. 15 0 16 Add lines 14 and 15. This is your total tax... 16 9,763 • If you have a 17 Federal income tax withheld from Forms W-2 and 1099 17 10,402 qualifying child, 18 Other payments and refundable credits: attach Sch. EIC. a Earned income credit (EIC) 18a 0 • If you have b Additional child tax credit. Attach Schedule 8812. 18b 0 nontaxable c American opportunity credit from Form 8863, line 8. 18c combat pay, see d Schedule 3, line 14 .... 18d 0 instructions e Add lines 18a through 18d. These are your total other payments and refundable credits 18e 0 19 Add lines 17 and 18e. These are your total payments 19 10,402 20 If line 19 is more than line 16, subtract line 16 from line 19. This is the amount you overpaid . 20 639 Refund 21 a Amount of line 20 you want refunded to you. If Form 8888 is attached, check here 21a 639 Direct deposit? b Routing number Checking Savings See instructions d Account number 22 Amount of line 20 you want applied to your 2020 estimated tax ► 22 0 Amount 23 Amount you owe. Subtract line 19 from line 16. For details on how to pay, see instructions 23 0 You Owe 24 Estimated tax penalty (see instructions). .. ► 24 0 Third Party Do you want to allow another person to discuss this return with the IRS (see instructions)? Yes. Complete below. Designee X No (Other than Designee's Phone Personal identification paid preparer) name > no. number (PIN) Sign 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, Here correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge. Joint return? Your signature Date Your occupation If the IRS sent you an Identity Prot. PIN, See instructions. enter here Keep a copy Spouse's signature. If a joint return, both must sign. Date Spouse's occupation If the IRS sent you an Identity Prot. PIN, for your records. enter here Phone no. Email address Preparer's name Preparer's signature Date PTIN Check if: Paid 3rd Party Designee Preparers Firm's name Use Only Phone no. Self-employed Firm's address Firm's EIN Go to www.irs.gov/Form 1040 for instructions and the latest information. Form 1040 (2019) c Type: