George Large (SSN 000-11-1111) and his wife Marge Large (SSN 000-22-2222) live a

Question

George Large (SSN 000-11-1111) and his wife Marge Large (SSN 000-22-2222) live at 2000 Lakeview Drive, Cleveland, OH 49001 and want you to prepare their 2012 income tax return based on the information below: George Large worked as a salesman for Toyboat, Inc. He received a salary of $80,000 ($8,500 of federal income taxes withheld and $1,800 of state income taxes withheld) plus an expense reimbursement from Toyboat of $5,000 to cover his employee business expenses. George must make an adequate accounting to his employer and return any excess reimbursement, none of the reimbursement was related to the meals and entertain ment. Additionally, Toyboat provides George with medical insurance worth $7,200 per year. George drove his car a total of 24,000 miles during the year, and he placed the car in service on June 1, 2010. His log indicates that 18,000 miles were for sales calls to cus- tomers at the customers' offices and the remainder was personal mileage. George uses the standard mileage rate method. Assume his business miles were driven evenly during the year. George is a college basketball fan. He purchased two season tickets for a total of $4,000. He takes a customer to every game, and they discuss some business before, dur ing, and after the games. George also takes clients to business lunches. His log indicates that he spent $1,500 on these business meals. George also took a five-day trip to the Toyboat headquarters in Musty, Ohio. He was so well-prepared that he finished his busi- ness in three days, so he spent the other two days sightseeing. He had the following expenses during each of the five days of his trip Airfare $200 Lodging $85/day Meals Taxicabs $20/day S50/day Marge Large is self-employed. She repairs rubber toy boats in the basement of their home,

Explanation / Answer

this question is already answered by one of our experts

please check the following link

http://www.chegg.com/homework-help/questions-and-answers/individual-tax-return-problem-george-large-ssn-000-11-1111-wife-marge-large-ssn-000-22-222-q8884365

Related Questions

Navigate

• Browse (All)
• Browse G
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.