Is it possible to get help with either one of these tasks?
10/13/21, 9:38 AM WGU Performance Assessment https://tasks.wgu.edu/student/000964883/course/16000021/task/1402/overview 1/4 CTM1 — TASK 1: ADVANCED TAX CONCEPTS ADVANCED TAX CONCEPTS — C239 PRFA — CTM1 COMPETENCIES 3028.1.1 : Tax Planning The graduate applies knowledge of tax laws for planning and compliance purposes. 3028.1.5 : Taxation of Complex Corporate Transactions The graduate determines the proper tax treatment for business transactions including formation, reorganization, distribution, and liquidation. 3028.1.6 : Tax Return Preparation The graduate prepares federal tax returns with IRS forms, schedules, and related reporting requirements. INTRODUCTION As a tax professional, you will prepare various types of tax returns. A client hires a tax accountant with the reasonable expectation that the accountant is well versed in current tax laws for both planning and compliance purposes. For this task, you will apply your tax knowledge to a real-world scenario by generating and submitting a complete Form 1120S with all supporting forms, schedules, and statements for the Endothon Company. The tax forms required to complete this task need to be retrieved using tax software. You may use the “IRS Forms and Publication” web link below as a reference only. SCENARIO You are a CPA who has been hired by Charlotte Turay, the president of Endothon Company, a local business that manufactures widgets, to prepare a tax return for the company. Endothon was incorporated on March 1, 2016, and filed a timely entity classification election and S election on that same date. The business uses the hybrid method of accounting for tax purposes. Endothon Company properly accounted for all 1099-MISC income in its bookkeeping system, including income that vendors did not report to the IRS. Endothon’s employer identification number is 12-3456789. Its headquarters and mailing address are 4801 South Commercial, Key West, FL 33040. The following two individuals are the company’s shareholders: • Charlotte Turay, President • Ownership: 60% of the company • Social Security (SS) number: 543-21-0986 TASK OVERVIEW SUBMISSIONS EVALUATION REPORT 10/13/21, 9:38 AM WGU Performance Assessment https://tasks.wgu.edu/student/000964883/course/16000021/task/1402/overview 2/4 • Salary: $159,484 • Anika Miller, Vice President • Ownership: 40% of the company • SS number: 234-56-7890 • Salary: $106,323 Both shareholders work full time for Endothon and receive their W-2s at the company’s headquarters. Endothon includes production wages and plant management wages in the cost of goods sold and does not attempt to prorate the cost of goods sold and operating items that have not already been separately stated in the trial balance under the uniform capitalization rules (Section 263A) of the Internal Revenue Code (IRC). Endothon’s total W-2 wages for 2018 are $1,869,717. Business interest is derived on customer notes from defaulted accounts receivable balances in the ordinary course of trade for Endothon. Additionally, Endothon Company earns investment interest in a money market account (MM). The business purchased new equipment on July 15, 2018, for $250,000. Endothon wants to deduct as much of the equipment’s cost as possible on this year’s tax return. Section 168 bonus depreciation was elected for the manufacturing equipment purchased in 2016, and the full amount of Section 179 depreciation was elected for the office equipment purchased the same year. Additionally, the company reports book depreciation in the trial balance, which typically differs from tax depreciation each year. Charlotte Turay gives you the Work Opportunity Tax Credit information regarding two employees, Mei Phan and Ahmed Kalani. Mei Phan was hired on March 1, 2018, and is certified as a “veteran with a service-connected disability” without previous employment within the past seven months. Mei was paid $16,000 in W-2 wages during the year and worked 1,300 hours last year before leaving the company on January 5, 2019. Ahmed Kalani was hired on October 15, 2018, and is certified as a “designated community resident.” Ahmed was paid $22,500 in W-2 wages for 380 hours last year and continues to work full time with Endothon Company. REQUIREMENTS You must use the rubric to direct the creation of your submission because it provides detailed criteria that will be used to evaluate your work. Each requirement below may be evaluated by more than one rubric aspect. The rubric aspect titles may contain hyperlinks to relevant portions of the course. A. Complete Form 1120S using the information from the scenario and the “Client Organizer for Endothon” attachment. Include all supporting forms and statements. Note: Please save the entire return as a pdf file and submit that file.Worksheets are not included in the IRS submission and therefore do not need to be included. 1. List the correct number for each of the following lines in Form 1120S: • Line 6 “Total income (loss)” • Line 14 “Depreciation” • Line 18 “Employee benefit programs” • Line 20 “Total deductions” • Line 21 “Ordinary business income (loss)” 10/13/21, 9:38 AM WGU Performance Assessment https://tasks.wgu.edu/student/000964883/course/16000021/task/1402/overview 3/4 B. Complete Schedule K “Shareholders’ Pro Rata Share Items” using the information from the scenario and the “Client Organizer for Endothon” attachment. 1. Include the correct number for each of the following lines: • Line 4 “Interest income” • Line 13g “Other credits” • Line 16c “Nondeductible expenses” C. Complete a Schedule K-1 for each Endothon shareholder in Form 1120S using the information from the scenario and in the “Client Organizer for Endothon” attachment. a. Include the correct number for each of the following lines in Schedule K-1: • Line 1 “Ordinary business income (loss)” • Line 11 “Section 179 deduction” • Line 13j “Credits” File Restrictions File name may contain only letters, numbers, spaces, and these symbols: ! - _ . * ' ( ) File size limit: 200 MB File types allowed: doc, docx, rtf, xls, xlsx, ppt, pptx, odt, pdf, txt, qt, mov, mpg, avi, mp3, wav, mp4, wma, flv, asf, mpeg, wmv, m4v, svg, tif, tiff, jpeg, jpg, gif, png, zip, rar, tar, 7z RUBRIC A:FORM 1120S A1:NUMBERS ON GIVEN LINES OF FORM 1120S B:SCHEDULE K IN FORM 1120S NOT EVIDENT Form 1120S is not completed and does not include all support- ing forms and statements. APPROACHING COMPETENCE Not applicable. COMPETENT Form 1120S is complete and in- cludes all supporting forms and statements. NOT EVIDENT The number on 1 or more of the given lines for Form 1120S is incorrect. APPROACHING COMPETENCE Not applicable. COMPETENT The number on each of the given lines for Form 1120S is correct. NOT EVIDENT APPROACHING COMPETENCE COMPETENT https://lrps.wgu.edu/provision/201359612 https://lrps.wgu.edu/provision/201359612 10/13/21, 9:38 AM WGU Performance Assessment https://tasks.wgu.edu/student/000964883/course/16000021/task/1402/overview 4/4 B1:NUMBERS ON GIVEN LINES OF SCHEDULE K C:SCHEDULE K-1 IN FORM 1120S C1:NUMBERS ON GIVEN LINES OF SCHEDULE K-1 WEB LINKS IRS Forms and Publication For reference only SUPPORTING DOCUMENTS Client Organizer for Endothon.xlsx The Schedule K “Shareholders’ Pro Rata Share Items” in Form 1120S is incomplete. Not applicable. The Schedule K “Shareholders’ Pro Rata Share Items” in Form 1120S is complete. NOT EVIDENT The number on 1 or more of the given lines in Schedule K is incorrect. APPROACHING COMPETENCE Not applicable. COMPETENT The number on each of the given lines in Schedule K is correct. NOT EVIDENT The Schedule K-1 for 1 or more Endothon shareholders is incomplete. APPROACHING COMPETENCE Not applicable. COMPETENT The Schedule K-1 for each Endothon shareholder is complete. NOT EVIDENT The number on 1 or more of the given lines in Schedule K-1 is incorrect. APPROACHING COMPETENCE Not applicable. COMPETENT The number on each of the given lines in Schedule K-1 is correct. https://lrps.wgu.edu/provision/201359612 https://lrps.wgu.edu/provision/201359612 https://lrps.wgu.edu/provision/201359612 https://apps.irs.gov/app/picklist/list/formsPublications.html 10/13/21, 9:47 AM WGU Performance Assessment https://tasks.wgu.edu/student/000964883/course/16000021/task/1403/overview 1/5 CTM1 — TASK 2: PERSONAL TAX RETURN ADVANCED TAX CONCEPTS — C239 PRFA — CTM1 COMPETENCIES 3028.1.1 : Tax Planning The graduate applies knowledge of tax laws for planning and compliance purposes. 3028.1.2 : Multijurisdictional Tax Issues The graduate analyzes the impact of multijurisdictional taxes including federal, state, local, and international taxes. 3028.1.4 : Federal Taxation of Property Transactions The graduate determines the proper tax treatment for business transactions such as capital gains, the sale of a residence, and gifts. 3028.1.6 : Tax Return Preparation The graduate prepares federal tax returns with IRS forms, schedules, and related reporting requirements. INTRODUCTION This task will allow you to apply your tax knowledge to a real-world tax scenario. To complete this task, you will generate and submit Form 1040 with all supporting forms, schedules, and statements. The tax forms required to complete this task need to be retrieved using tax software. You may use the “IRS Forms and Publication” web link as a reference. SCENARIO Jack and Judith Aollinger have hired you to prepare their 2018 federal income tax return. Jack is a self-employed artist with a studio at the Aollinger’s home, address: 1234 Main St., Key West, FL 33040. Jack has provided the spreadsheet titled “Artist Studio” for his business in the “Client Organizer Aollinger” attachment. Jack properly accounted for all art income in his bookkeeping system. As you help the Aollingers with their taxes, use tax methods that minimize taxable income. Jack and Judith’s Social Security numbers (SSN) and date of birth (DOB) are as follows: • Jack: SSN 500-00-1003; DOB 6/27/1963 • Judith: SSN 543-21-0986; DOB 9/18/1970 The Aollingers have three children: • Janey: SSN 345-67-8901; DOB 7/1/2000 • Johnny: SSN 234-56-7890; DOB 2/4/2008 • Jeremy: SSN 456-78-9012; DOB 9/30/2012 TASK OVERVIEW SUBMISSIONS EVALUATION REPORT 10/13/21, 9:47 AM WGU Performance Assessment https://tasks.wgu.edu/student/000964883/course/16000021/task/1403/overview 2/5 Judith works full time for Imelda Company, an architectural firm and S corporation. She owns 20% of the company and her basis in stock is zero. Imelda Company’s tax ID is 12-3456789 and is located at 4801 South Commercial, Key West, FL 33040. Judith’s W-2 for 2018 listed her earnings as $78,000 in wages, of which $19,500 was withheld for federal income tax, $4,836 for Social Security tax, and $1,131 for Medicare tax. She also received a K-1 from the company for 2018. The K-1 lists the following items: • Line 1: Ordinary business income: $35,567 • Line 11: Section 179 deduction: $9,000 • Line 12 A: Charitable contributions: $450 • Line 15 A: Post-1986 depreciation adjustment: $9,791 • Line 16 C: Nondeductible expenses: $560 Janey is a full-time student at a local college, Strime Institute. Strime Institute’s EIN is 12-3458888 and the address is 1 Florida Orange Lane, Sunshine, FL 33040. Janey is a dependent of her parents, so she received a Form 1098-T with a Box 2 amount of $4,800. Jeremy goes to a day care after school at Ms