eBook Instructions John's W-2 Form John's Form 1099-DIV and Form 1099-S John's Form 1098 Form 1040 Schedule 1 Schedule A Schedule B Schedule D Form 8949 Schedule E Form 8582 Qualified Dividends and Capital Gain Tax Worksheet Tax Table Instructions Question Content Area Comprehensive Problem 5-2B John Fuji (birthdate June 6, 1983) received Form W-2 from his employer related to his job as a manager at a Washington apple-processing plant (see separate tab). John has income reported to him on a 1099-DIV from his investment in mutual funds (see separate tab). Also, in accordance with the January 2016 divorce decree John receives $500 per month alimony from his ex-wife (Dora Fuji, Social Security number 573-79-6075) in 2023. On December 30, 2023, John sold his primary residence after living there since October 2013. John received the Form 1099-S from the sale (see separate tab). John paid selling expenses of $35,755. His basis in the home was $292,000. John paid the property taxes on the home for the second half of 2023 of $6,000. The closing statement for the sale indicated that the buyer needed to reimburse John for property taxes of $33.33, which were reflected as an increase in John's gross proceeds. The entire year’s property taxes are reflected on John’s 1098 (see separate tab). John tried his hand at day trading for one week in February 2023. He received a substitute Form 1099-B from his broker. Because the IRS was provided the acquisition date and basis for all trades and none required any adjustments or codes, these can be entered as a summary entry into Schedule D and no Form 8949 needs to be prepared. During 2023, John paid the following amounts (all of which can be substantiated): Auto loan interest1,575Credit card interest655State sales tax (actual exceeds estimated)2,022Doctor bills5,000Other deductible medical expenses1,800Income tax preparation fee500Job-hunting expenses925Cash charitable donation to the Jonagold Research Center2,500Federal estimated tax payment 12/30/20235,000 John’s employer offers a retirement plan, but John does not participate. Instead, he made a $6,500 contribution to a Roth IRA. John owns a condo in Seattle that he lived in years ago and now rents. His rental condo is located at 1012 E Terrace Street Unit 1204, Seattle, WA 98122 and was rented all year to his tenant. The tenant occupied the home on January 1, 2023, and pays rent of $2,000 per month for each month of 2023 (a 12-month lease). John demanded first and last month rent and a security deposit of $500 and all were paid January 1, 2023. Upon the tenant’s departure on December 31, John noted damages and is going to retain $300 of the security deposit. John’s rental expenses for the year are: Mortgage interest$9,500Real estate taxes7,000Insurance2,000Depreciation (fully depreciated)0Repairs1,000Homeowner’s association fees5,600 John actively manages the rental home. He probably spends about seven hours per month on the rental. Required: Complete John's federal tax return for 2023. Use Form 1040, Schedule 1, Schedule A, Schedule B, Schedule D, Schedule E, Form 8949, Form 8582, and the Qualified Dividends and Capital Gains Tax Worksheet as needed to complete this tax return. Make realistic assumptions about any missing data. John has health coverage for the entire year, required round any dollar amount to the neare and he does not want to make a contribution to the presidential election campaign. Enter all amounts as positive numbers. If an amount box does not require an entry or the answer is zero, enter "0". If required, round any dollar amount to the nearest dollar. help me compute this problem
