Information: Please complete the 2019 federal income tax return for Bill and Joyce Schnappauf. (We will be using 2019 rates for this problem). Be sure to include only required tax forms when completing the tax return. Bill and Joyce Schnappauf live in Wakefield, RI. Bill is 53 and Joyce is 51. Bill is a district sales manager for USC Equipment Corporation, a Rhode Island firm that manufactures and distributes manufacturing equipment. Joyce is a selfemployed hair stylist. The Schnappaufs have three children, Will (18), Dan (14), and Tom (10). All the children live at home. Will is a senior in high school, he is not in college yet. The Schnappaufs use the cash method of accounting and file their return on a calendar year basis. The Schnappaufs provided the following information: Bills SS number is 371425207 Joyces SS number is 150520546 Wills SS number is 372462611 Dans SS number is 377423411 Toms SS number is 375496511 The Schnappaufs do not have any foreign bank accounts or foreign trusts. Their address is 27 Northup Street, Wakefield, RI 02879 The Schnappaufs do not wish to contribute to the presidential election campaign. The following was reported on Bills Form W2: Employer Gross Wages Federal Income Tax Withholding State Income Tax Withholding USC Equipment Corp. 152,272 23,871 5,577 All applicable and appropriate payroll taxes were withheld by the employer. During the year, they also received the following: Interest income from Wakefield Savings Bank $ 615 Interest income from Hawthorn Savings Bank $ 417 Interest income from Wakefield City Bond (municipal) $ 500 Qualified Dividend from Northeast Energy Co. $ 456 Nonqualified Dividend from Collingwood Capital Fund $ 176 Qualified Dividend from CocaCola Corporation $ 1,372 NonQualified Dividend from General Mills $ 100 Life insurance proceeds on the death of Joyces mother $25,000 Joyce sold the following stock during the year: 300 shares Northeast Energy purchased on 6/15/18 for $20 per share sold on 1/10/19 for $23 per share. 400 shares Coca Cola Purchased on 8/19/16 for $34 per share sold on 8/10/19 for $33 per share 400 shares General Mills Purchased on 5/10/14 for $5,000 and sold on 9/9/19 for $4,500. 100 shares of Pencil, Inc. Purchase on 1/5/19 for $1,800 and sold on 11/6/19 for $3,000. All four transactions were reported on a Form 1099B and basis was reported to the IRS. Bill entered a contest sponsored by a radio station and won 10 tickets to the touring Broadwaystyle production of Wholesome. The value of the tickets was $200 each. He took the family and friends from work to the show. They had qualifying minimum health insurance coverage provided to through Bills employment. They reported the following information for 2019. Home Mortgage Interest 12,200 Credit card interest 485 Real estate taxes 8,500 Property tax on car tags (based on value) 1,385 Drivers license renewal fee 25 Medical expenses (not reimbursed by insurance): Doctors 1,200 Chiropractor 650 Dentist 1.900 Vet fees (family dog Sandy) 350 Prescription drugs 340 Over the counter drugs 175 Contribution to American Red Cross 100 Contributions to First Methodist Church 14,500 Contributions to United Way 2,000 Contribution to Jimmy Ray for Mayor Campaign 500 Safe Deposit Box Rental 100 Tax Preparation Fee 2,100 Joyce had the following revenue from her hair salon business: Revenue from customers appointments $36,450 Revenue from beauty product sales 5,860 She incurred the following expenses: Cost of beauty products sold 3,002 Salon Supplies 8,891 Rent 12,000 Utilities 4,800 Advertising 100 Business License 250 Travel to hair show in New York City 1,850 Hair show conference fee 600 Meals while she traveled to hair show 482 Assume she does not carry an inventory for the beauty product sales. She places orders for customers as needed.