Rebecca and Walter Bunges have been married for 5 years. They live at 883 Scrub Brush Street, Apt. 52B Las Vegas Nevada 89125. Rebecca is a homemaker and Walt is a high school teacher. Rebecca's social security number is 222 -43 -76 90 and Waltz is 700-01-002. Walt earnings from teaching are:
Earnings from Las Vegas school district- $50,000
Federal income tax withheld - $5000
State income tax withheld $0
The Bunges incurred the following expenses during their move from Maine to Nevada in January of 2014...
Cost of moving furniture - $4300
Travel 3166 miles at $0.235 cents-744
Lodging in route $150
Meals in route - $90
House hunting trip before the move - $750
Walter's previous job, as a high school teacher in Maine, was only 5 miles from his home. Rebecca was unemployed prior to the moveThe Bunges own a ski condo in Utah. The condo was rented 40 days during 2014 and used by the Bunges for 10 days. Pertinent information about the condo rental is as follows:
Rental income- $6000
Mortgage interest- 4,800
Homeowners' association dues- 2000
Utilities - 1000
Maintenance- 2800
Depreciation (assume fully depreciated) 0
The above amounts do not reflect any allocation between rental and personal use of the condo. The Banges are active managers of the condo.
Required: Complete the Bunge's federal tax return for 2014. Use Form 1040, Schedule E, and Form 3903 on Pages 4-45 through 4-48 to complete their tax return