Explore BrainMass
Share

Determining filing status in the United States

This content was STOLEN from BrainMass.com - View the original, and get the already-completed solution here!

Marion and Howard are married. Howard left home in February of 2012 and has not lived with Marion since. Marion has not spoken to Howard since November and does not wish to file a joint return regardless. They are not blind or disabled. No one may claim them as dependents. Marion does not wish to designate $3 for the Presidential Election Campaign Fund. She is a U. S. citizen. Marion pays 80% of the household expenses. Marion's mother, Casey, watches Marion's children for her, free of charge, while Marion works. Casey Cunningham lives with Marion and the children. She pays 20% of the household expenses with her social security income. Casey's AGI is $0. She does however; pay over half of her own support. Casey has not filed a return in the last couple of years and will not claim any of the children. Marion purchased 150 shares of XYZ mutual funds for $ 15, 76 per share on May 25, 2010. Marion brings in four Forms W-2, a Form 1099-DIV, and a Form 1099-B. They appear on pages W8.21- W8-23. She has no other income in 2012.Hould Member(s) Information Determine which of the following qualify to be claimed as a dependent by Marion: Name: Richard Cunningham, SSN: 742-12-2208, DOB: April 28, 2000, Relationship: Son. Name: John E. Bosley, SSN: 742-12-2308, DOB: September 4, 2002, Relationship: Daughter. Name: Roger M. Phillips, SSN: 742-12-2408, DOB: March 2, 2003, Relationship: Nephew (Parents killed in accident in 2009). Name: Casey Cunningham, SSN: 742-12-2508, DOB: May 24, 1950, Relationship: Marion's mother. All of the children live with Marion all year long, and do not have any income. They are not disabled, and none are married. All are U.S. Citizens.

Questions:
1. What is Marion's correct and most favorable filing status for 2012?
2. How many exemptions may Marion claim in 2012?
3. What amount should Marion enter on Form 1040, line 7?
4. What amount should Marion enter on Form 1040, line 9a?
5. What amount should Marion enter on Form 1040, line 22?
6. What amount should Marion enter on line 8 of schedule D?
7. What amount should Marion enter on Form 8812, line 6?
8. What amount should Marion enter on line 51 of Form 1040?
9. What amount should Marion enter on Form 1040, line 40?
10. What amount should Marion enter on Form 1040, line 42?
11. What amount should Marion enter on Form 1040, line 55?
12. What amount should Marion enter Form 1040, line 62?
13. What amount should Marion enter on Form 1040, line 64a?
14. What amount should Marion enter on Form 1040, line 72?
15. What amount should Marion enter on Form 1040, line 73?
NOTE: The taxpayer, Marion has four Forms W-2. Forms attached.
She also has form 1099-DIV on box 1a showing Total Ordinary dividends of $ 256.36; and form 1099-B, in box 2a for Stocks and bonds of $ 3,375.00 and in box 3- Costs or other basis of $ 2,364.00.

© BrainMass Inc. brainmass.com October 17, 2018, 11:55 am ad1c9bdddf
https://brainmass.com/business/accounting/determining-filing-status-united-states-558441

Attachments

Solution Summary

The following posting helps with a problem involving filing status in the United States.

$2.19
Similar Posting

This file contains information regarding current tax regulations involving dependents.

I am working on a problem with married couple, Donna and Paul Decker who file a joint tax return. The wife is the custodial parent of two children, ages, 17 and 18, that reside with the married couple during the 9 month school year and then with the father, Bob, 3 months during the summer. Bob pays child support of $150 per month per child during the 9 months that they live with the mom and her husband. Bob spends $200 per month per child during the 3 months that they reside with him. Donna and Paul can document that they provide $2000 support per child per year. The divorce decree is silent as to which parent can claim the exemption for the children.

So do they get to file the kids as dependants? Also what happens with the child support, is it just 9 x $(150x2)= $2700....the Deckers spend more...I am wondering if there is anything else I need to know about how this situation will affect the tax return and what I need to put where.

The only additional information is provided about the children is that the Deckers paid $380 for the Daughter's medical bills and $850 for both children in doctor and hospital bills.

View Full Posting Details