Prepare form 8960

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Reference no: EM13669449

At the beginning of 2013, Donna Harp was employed as a cinematographer by Farah Movie, Inc., a motion picture company in Los Angeles, California. In June, she accepted a new job with Ocala Production in Orlando, Florida. Donna is single and her Social Security number is 000-00-1111. She sold her house in California on August 10 for $500,000. She paid a $14,000 sales commission. The house was acquired on March 23, 1987, for $140,000. The cost of transporting her household goods and personal effects from California to Orlando amounted to $2,350. To travel from California to Florida, she paid travel and lodging costs of $370 and $100 for meals. On July 15, she purchased a house for $270,000 on 1225 Minnie Lane in Orlando. To purchase the house, she incurred a 20-year mortgage for $170,000. To obtain the loan, she paid points of $3,400. The $3,600 of property taxes for the house in Orlando were prorated with $1,950 being apportioned to the seller and $1,650 being apportioned to the buyer. In December of the current year she paid $3,600 for property taxes.

Other information related to her return: Salary from Farah Movie, Inc. $30,000 Salary from Ocala Production, Inc. 70,000 Federal income taxes withheld by Farah 6,000 Federal income taxes withheld by Ocala 22,000 FICA taxes withheld by Farah 2,295 FICA taxes withheld by Ocala 5,355 Interest income from Sun National Bank 1,800 Dividend income 10,000 Interest paid for mortgage: Home in California 6,780 Home in Orlando 3,800 Property taxes paid in California 4,100 Sales taxes paid in California and Florida 3,125 State income taxes paid in California 2,900

Prepare Form 1040 including Schedules A, B, and D and Form 3903.

Prepare Form 8960

Reference no: EM13669449

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