Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2021: Gross receipts 203,000...


Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a<br>sole proprietorship. The following are the results from business operations for<br>the tax year 2021:<br>Gross receipts<br>203,000<br>Business mileage: 27,000 (miles incurred ratably throughout the<br>year) 35,000 miles total during the year 2021<br>Van (over 6,000 pounds) placed in serviče 1/01/2021, cost 27,000<br>Postage<br>(500)<br>Wages<br>(26,000)<br>Payroll taxes<br>(1,950)<br>Supplies<br>(12,500)<br>Phone<br>(1,250)<br>Internet service<br>(600)<br>Rent<br>(2,400)<br>Insurance<br>(2,800)<br>Van expenses<br>(4,500)<br>Business assetsDate Purchased<br>Cost<br>Computer 1<br>5/18/21<br>$ 2,200<br>Computer 2<br>6/01/21<br>2,700<br>Printer<br>3/01/20<br>900<br>Copier<br>3/02/20<br>2,100<br>Furniture<br>3/01/20<br>6,000<br>Required: Determine Cassi's self-employment income and QBI deduction.<br>Prepare Schedule C and Schedule SE. § 179 expense is elected on all eligible<br>assets (§ 179 was not taken on assets purchased last year)<br>

Extracted text: Cassi (SSN 412-34-5670) has a cash-basis home cleaning business she runs as a sole proprietorship. The following are the results from business operations for the tax year 2021: Gross receipts 203,000 Business mileage: 27,000 (miles incurred ratably throughout the year) 35,000 miles total during the year 2021 Van (over 6,000 pounds) placed in serviče 1/01/2021, cost 27,000 Postage (500) Wages (26,000) Payroll taxes (1,950) Supplies (12,500) Phone (1,250) Internet service (600) Rent (2,400) Insurance (2,800) Van expenses (4,500) Business assetsDate Purchased Cost Computer 1 5/18/21 $ 2,200 Computer 2 6/01/21 2,700 Printer 3/01/20 900 Copier 3/02/20 2,100 Furniture 3/01/20 6,000 Required: Determine Cassi's self-employment income and QBI deduction. Prepare Schedule C and Schedule SE. § 179 expense is elected on all eligible assets (§ 179 was not taken on assets purchased last year)

Jun 10, 2022
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