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MBA, Ph.D in Management
Harvard university
Feb-1997 - Aug-2003
Professor
Strayer University
Jan-2007 - Present
John Williams (birthdate August 2, 1974) is a single taxpayer, and he lives at 1324
Forest Dr., Reno, NV 89501. His Social Security number is 555-94-9358. John’s
earnings and withholdings as the manager of a local casino for 2016 are reported
on his Form W-2: John’s other income includes interest on a savings account at Nevada National
Bank of $13,575.
John pays his ex-wife, Sarah McLoughlin, $4,000 per month. When their 12yearold child (in the wife’s custody) reaches 18, the payments are reduced to
$2,750 per month. His ex-wife’s Social Security number is 554-44-5555.
In 2016, John purchased a new car and so he kept track of his sales tax receipts
during the year. His actual sales tax paid is $3,560, which exceeds the estimated
amount per the IRS tables.
During the year, John paid the following amounts (all of which can be
substantiated):
Credit card interest
Auto loan interest
Auto insurance
Property taxes on personal residence
Blue Cross health insurance premiums
Other medical expenses
Income tax preparation fee
Charitable contributions:
Boy Scouts
St. Matthews Church
U. of Nevada (Reno) Medical School
Nevada Democratic Party
Fund-raising dinner for the Reno Auto
Museum (value of dinner is $25) John also received the following Form 1098: $1,76
0
4,300
900
2,640
2,800
790
900
1,350
3,100
26,90
0
250
100 Required: Complete John’s federal tax return for 2016. Use Form 1040, Schedule
A, and Schedule B, to complete this tax return. Make realistic assumptions about
any missing data.
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