Tax Return Case Study
Using the information provided below and the linked forms, file a 1040A tax return for the Coleson family as if you were Chad or Elizabeth Coleson. If there is a line on the 1040A form for which you have received no information, assume that it does not apply to the couple. For example, earned income credit is not mentioned so you won't need to write anything on line 37 or 41. Also, if the form says to attach another form (i.e., attach form 8863) you can ignore it.
The Coleson family consists of Chad, and his wife Elizabeth. They are expecting a daughter, Rebecca in two months. Chad and Elizabeth have been married for 2½ years. Chad's social security number is 646-98-7325. Elizabeth's social security number is 543-57-9211. Chad and Elizabeth, both have $3 of their taxes go to the presidential election campaign fund.
The Colesons file as married filing jointly. The Colesons kept records for all tax-deductible expenses. Their total itemized deduction would be $5,300. Also, Chad is still a full-time student and on a partial tuition scholarship. He has an education tax credit of $600.00.
The Colesons do not want any possible refund applied to their 2004 estimated tax.
You will also need the following information to complete this assignment.
IRS links to other tax forms and tables are at the bottom of this page.
This assignment is worth 25 points. You will be graded on how completely the form (names, SSN, etc.) is filled out with the required information and whether the monetary figures have been correctly identified and filled in. (Remember the 12 steps.) Up to three points may be deducted if the math is not done correctly. You may fill in the numbers as they are given or round to the nearest whole dollar as the IRS does.
Please remember to put YOUR name somewhere on the form so I know who to give credit to!
TAX FORMS AND TABLES (All three of the most common forms are linked here. You will only need the 1040A for this assignment, the others are for your information.)
2006 1040 tax tables (go to about page 67)
2006 1040EZ tax tables (go to about page 17)
2006 1040A tax tables (go to about page 62)
