Beverly and Ken Hair have been married for 3 years. Bothtaxpayers are under age 65. Beverly works as an accountant atCypress Corporation. Ken is a full-time student at SouthwestMissouri State University (SMSU) and also works part-time duringthe summer at Cypress Corp. Ken's birthdate is January 12, 1992 andBeverly's birthdate is November 4, 1994. Beverly and Ken eachreceived a W-2 form from Cypress Corporation. The Hairs haveinterest income of $1,000 on City of St. Louis bonds. Beverly andKen also received a Form 1099-INT from Boatman's Bank and a1099-DIV form from green Corporation. Ken is an excellent studentat SMSU. He was given a $1,750 scholarship by the university tohelp pay educational expenses. The scholarship funds were used byKen for tuition and books. Last year, Beverly was laid off from herformer job and was unemployed during January 2018. She was paid$1,825 of unemployment compensation until she started work with hercurrent employer, Cypress Corporation. Ken has a 4-year-old son,Robert R. Hair, from a prior marriage that ended in divorce in2013. During 2018, he paid his ex-wife $300 per month in childsupport. Robert is claimed as a dependent by Ken's ex-wife. During2018, Ken's aunt died. The aunt, in her will, left Ken $15,000 incash. Ken deposited this money in the Boatman's Bank savingsaccount. Required: Complete the Hair's Form 1040, Schedule 1, andthe Qualified Dividends and Capital Gain Tax Worksheet. The Hair'shad health cover for the entire year. They do not want to make anycontribution to the presidential election campaign. Make any otherrealistic assumptions about any missing data. If an amount box doesnot require an entry or if an amount is zero, enter "0". Enteramounts as positive numbers. If required, round amounts to thenearest dollar.
