Jim Sarowski (SSN 000 -00-2222) is 70 years old and single. He received Social Security benefits of.

Jim Sarowski (SSN 000 -00-2222) is 70 years old and uncompounded. He curlaceration Social Security benefits of $16,000 . He works part-time as a greeter at a persomal allowance shop and curlaceration stipend of $7,300. Federal income taxes of $250 were delayheld from his salary . Jim lives at Rt. 7 in Daingerfield, Texas. In March of 2018, he dissipationd a duplex at 2006 Tennessee Street to use as lacerational nature for $100,000, delay 20% of the charge allocated to place. During the year, he had the forthcoming profits and expenditures delay respect to the duplex:

Other expenditures during the year:

On July 24, he exchanged ten acres of place for a car delay a $16,500 FMV to be held for singular use. The place was dissipationd on November 22, 1993, for $18,000 as an boarding. Because of defilement problems in the area, the treasure of the place declined On December 1, he sold his stay, which had been his abode for 30 years, for $475,000. Sales commissions of $16,000 were paid, and the adjusted reason for his abode is $110,000. He drawings to laceration an apartment and does not drawing co dissipation another abode. His barely other sale of a principal stay occurred 32 years ago.

a. Determine the aggregate of periodical mould on the sale of the stay.

b. Prepare Forms 4562 and 1040, including Schedules D and E