src/fed2019/Form1040.ts

   1 // Copyright 2020 Blue Static <https://www.bluestatic.org>
   2 // This program is free software licensed under the GNU General Public License,
   3 // version 3.0. The full text of the license can be found in LICENSE.txt.
   4 // SPDX-License-Identifier: GPL-3.0-only
   5
   6 import { Form, TaxReturn } from '../core';
   7 import { Line, AccumulatorLine, ComputedLine, ReferenceLine, sumLineOfForms } from '../core/Line';
   8 import { UnsupportedFeatureError } from '../core/Errors';
   9 import { clampToZero, reduceBySum } from '../core/Math';
  10
  11 import Form8606 from './Form8606';
  12 import Form8959 from './Form8959';
  13 import Form1099INT from './Form1099INT';
  14 import Form1099DIV from './Form1099DIV';
  15 import Form1099R, { Box7Code } from './Form1099R';
  16 import Form8995REIT from './Form8995';
  17 import W2 from './W2';
  18 import Schedule1 from './Schedule1';
  19 import Schedule2 from './Schedule2';
  20 import Schedule3 from './Schedule3';
  21 import ScheduleD, { ScheduleDTaxWorksheet } from './ScheduleD';
  22
  23 export enum FilingStatus {
  24   Single = 'S',
  25   MarriedFilingSeparate = 'MFS',
  26   MarriedFilingJoint = 'MFJ',
  27 };
  28
  29 export interface Form1040Input {
  30   filingStatus: FilingStatus;
  31 };
  32
  33 export default class Form1040 extends Form<Form1040['_lines'], Form1040Input> {
  34   readonly name = '1040';
  35
  36   protected readonly _lines = {
  37     '1': new AccumulatorLine(W2, '1', 'Wages, salaries, tips, etc.'),
  38     '2a': new ComputedLine((tr): number => {
  39       const value = (new AccumulatorLine(Form1099INT, '8')).value(tr) +
  40                     (new AccumulatorLine(Form1099DIV, '11')).value(tr);
  41       return value;
  42     }, 'Tax-exempt interest'),
  43     '2b': new ComputedLine((tr): number => {
  44       const value = (new AccumulatorLine(Form1099INT, '1')).value(tr) +
  45                     (new AccumulatorLine(Form1099INT, '3')).value(tr);
  46       return value;
  47     }, 'Taxable interest'),
  48     '3a': new AccumulatorLine(Form1099DIV, '1b', 'Qualified dividends'),
  49     '3b': new AccumulatorLine(Form1099DIV, '1a', 'Ordinary dividends'),
  50     '4a': new ComputedLine((tr): number => {
  51       const f1099Rs = tr.findForms(Form1099R).filter(f => !f.getValue(tr, '7').includes(Box7Code.G));
  52       return sumLineOfForms(tr, f1099Rs, '1');
  53     }),
  54     '4b': new ComputedLine((tr): number => {
  55       const f8606s = tr.findForms(Form8606);
  56       return sumLineOfForms(tr, f8606s, '15c') + sumLineOfForms(tr, f8606s, '18');
  57     }, 'IRA distributions, taxadble amount'),
  58     '4d': new ComputedLine(() => 0),
  59     // 4c and 4d are not supported
  60     // 5a and 5b are not supported
  61     '6': new ComputedLine((tr): number => {
  62       const schedD = tr.findForm(ScheduleD);
  63       if (!schedD)
  64         return 0;
  65
  66       const l6 = schedD.getValue(tr, '16');
  67       if (l6 >= 0)
  68         return l6;
  69       return schedD.getValue(tr, '21');
  70     }, 'Capital gain/loss'),
  71     '7a': new ReferenceLine(Schedule1, '9', 'Other income from Schedule 1', 0),
  72
  73     '7b': new ComputedLine((tr): number => {
  74       let income = 0;
  75       income += this.getValue(tr, '1');
  76       income += this.getValue(tr, '2b');
  77       income += this.getValue(tr, '3b');
  78       income += this.getValue(tr, '4b');
  79       income += this.getValue(tr, '4d');
  80       //income += this.getValue(tr, '5b');
  81       income += this.getValue(tr, '6');
  82       income += this.getValue(tr, '7a');
  83       return income;
  84     }, 'Total income'),
  85
  86     '8a': new ReferenceLine(Schedule1, '22', 'Adjustments to income', 0),
  87
  88     '8b': new ComputedLine((tr): number => {
  89       return this.getValue(tr, '7b') - this.getValue(tr, '8a');
  90     }, 'Adjusted gross income'),
  91
  92     '9': new ComputedLine((): number => {
  93       // TODO - Itemized deductions.
  94       switch (this.filingStatus) {
  95         case FilingStatus.Single:
  96         case FilingStatus.MarriedFilingSeparate:
  97           return 12200;
  98         case FilingStatus.MarriedFilingJoint:
  99           return 24400;
 100       }
 101     }, 'Deduction'),
 102
 103     '10': new ComputedLine((tr): number => {
 104       const f8995 = tr.findForm(Form8995REIT);
 105       if (f8995)
 106         return f8995.getValue(tr, '39');
 107       return 0;
 108     }, 'Qualified business income deduction'),
 109
 110     '11a': new ComputedLine((tr): number => {
 111       return this.getValue(tr, '9') + this.getValue(tr, '10');
 112     }),
 113     '11b': new ComputedLine((tr): number => {
 114       return clampToZero(this.getValue(tr, '8b') - this.getValue(tr, '11a'));
 115     }, 'Taxable income'),
 116
 117     '12a': new ComputedLine((tr): number => {
 118       // Not supported:
 119       // Form 8814 (election to report child's interest or dividends)
 120       // Form 4972 (relating to lump-sum distributions)
 121
 122       const schedD = tr.findForm(ScheduleD);
 123       // Line 18 and 19 are not undefined or 0.
 124       if (schedD && !schedD.getValue(tr, '20')) {
 125         // Use ScheD tax worksheet;
 126         const schedDtw = tr.findForm(ScheduleDTaxWorksheet);
 127         if (schedDtw)
 128           return schedDtw.getValue(tr, '47');
 129       }
 130
 131       // If there are qualified dividends, use the QDCGTW.
 132       if (this.getValue(tr, '3a') > 0) {
 133         const qdcgtw = tr.getForm(QDCGTaxWorksheet);
 134         return qdcgtw.getValue(tr, '27');
 135       }
 136
 137       // Otherwise, compute just on taxable income.
 138       return computeTax(this.getValue(tr, '11b'), this.filingStatus);
 139     }, 'Tax'),
 140
 141     '12b': new ComputedLine((tr): number => {
 142       return this.getValue(tr, '12a') + tr.getForm(Schedule2).getValue(tr, '3');
 143     }, 'Additional tax'),
 144
 145     // Not supported: 13a - child tax credit
 146
 147     '13b': new ReferenceLine(Schedule3, '7', 'Additional credits', 0),
 148
 149     '14': new ComputedLine((tr): number => {
 150       return clampToZero(this.getValue(tr, '12b') - this.getValue(tr, '13b'));
 151     }),
 152
 153     '15': new ReferenceLine(Schedule2, '10', undefined, 0),
 154
 155     '16': new ComputedLine((tr): number => {
 156       return this.getValue(tr, '14') + this.getValue(tr, '15');
 157     }, 'Total tax'),
 158
 159     '17': new ComputedLine((tr): number => {
 160       const fedTaxWithheldBoxes = [
 161         new AccumulatorLine(W2, '2'),
 162         new AccumulatorLine(Form1099R, '4'),
 163         new AccumulatorLine(Form1099DIV, '4'),
 164         new AccumulatorLine(Form1099INT, '4'),
 165       ];
 166       const withholding: number[] = fedTaxWithheldBoxes.map(b => b.value(tr));
 167
 168       let additionalMedicare = 0;
 169       const f8959 = tr.findForm(Form8959)
 170       if (f8959) {
 171         additionalMedicare = f8959.getValue(tr, '24');
 172       }
 173
 174       return reduceBySum(withholding) + additionalMedicare;
 175     }, 'Federal income tax withheld'),
 176
 177     // 18a not supported - Earned income credit (EIC)
 178     // 18b not supported - Additional child tax credit. Attach Schedule 8812
 179     // 18c not supported - American opportunity credit from Form 8863, line 8
 180     '18d': new ReferenceLine(Schedule3, '14', undefined, 0),
 181     '18e': new ComputedLine((tr): number => {
 182       // Should include 18a-18c.
 183       return this.getValue(tr, '18d');
 184     }),
 185
 186     '19': new ComputedLine((tr): number => {
 187       return this.getValue(tr, '17') + this.getValue(tr, '18e');
 188     }, 'Total payments'),
 189
 190     '20': new ComputedLine((tr): number => {
 191       return clampToZero(this.getValue(tr, '19') - this.getValue(tr, '16'));
 192     }, 'Amount overpaid'),
 193
 194     '23': new ComputedLine((tr): number => {
 195       return clampToZero(this.getValue(tr, '16') - this.getValue(tr, '19'));
 196     }, 'Amount you owe'),
 197   }
 198
 199   get filingStatus(): FilingStatus {
 200     return this.getInput('filingStatus');
 201   }
 202 };
 203
 204 export function computeTax(income: number, filingStatus: FilingStatus): number {
 205   // From https://www.irs.gov/pub/irs-drop/rp-18-57.pdf, Section 3.01 and
 206   // https://www.irs.gov/pub/irs-pdf/p17.pdf, 2019 Tax Rate Schedules (p254).
 207   const taxBrackets = {
 208     // Format is:
 209     // [ limit-of-taxable-income, marginal-rate, base-tax ]
 210     // If Income is over Row[0], pay Row[2] + (Row[1] * (Income - PreviousRow[0]))
 211     [FilingStatus.MarriedFilingJoint]: [
 212       [ 19400, 0.10, 0 ],
 213       [ 78950, 0.12, 1940 ],
 214       [ 168400, 0.22, 9086 ],
 215       [ 321450, 0.24, 28765 ],
 216       [ 408200, 0.32, 65497 ],
 217       [ 612350, 0.35, 93257 ],
 218       [ Infinity, 0.37, 164709.50 ]
 219     ],
 220     [FilingStatus.Single]: [
 221       [ 9700, 0.10, 0 ],
 222       [ 39475, 0.12, 970 ],
 223       [ 84200, 0.22, 4543 ],
 224       [ 160725, 0.24, 14382.50 ],
 225       [ 204100, 0.32, 32748.50 ],
 226       [ 510300, 0.35, 46628.50 ],
 227       [ Infinity, 0.37, 153798.50 ]
 228     ],
 229     [FilingStatus.MarriedFilingSeparate]: [
 230       [ 9700, 0.10, 0 ],
 231       [ 39475, 0.12, 970 ],
 232       [ 84200, 0.22, 4543 ],
 233       [ 160725, 0.24, 14382.50 ],
 234       [ 204100, 0.32, 32748.50 ],
 235       [ 306175, 0.35, 46628.50 ],
 236       [ Infinity, 0.37, 82354.75 ]
 237     ]
 238   }[filingStatus];
 239
 240   let i = 0;
 241   while (taxBrackets[i][0] < income)
 242     ++i;
 243
 244   const bracket = taxBrackets[i];
 245   const bracketStart = i == 0 ? 0 : taxBrackets[i - 1][0];
 246
 247   return ((income - bracketStart) * bracket[1]) + bracket[2];
 248 };
 249
 250 export class QDCGTaxWorksheet extends Form<QDCGTaxWorksheet['_lines']> {
 251   readonly name = 'QDCG Tax Worksheet';
 252
 253   protected readonly _lines = {
 254     '1': new ReferenceLine(Form1040, '11b', 'Taxable income'),
 255     '2': new ReferenceLine(Form1040, '3a', 'Qualified dividends'),
 256     '3': new ComputedLine((tr): number => {
 257       const schedD = tr.findForm(ScheduleD);
 258       if (schedD)
 259         return clampToZero(Math.min(schedD.getValue(tr, '15'), schedD.getValue(tr, '16')));
 260       return tr.getForm(Form1040).getValue(tr, '6');
 261     }),
 262     '4': new ComputedLine((tr): number => this.getValue(tr, '2') + this.getValue(tr, '3')),
 263     '5': new ComputedLine(() => 0), // Not supported - Form 4952/4g (nvestment interest expense deduction)
 264     '6': new ComputedLine((tr): number => clampToZero(this.getValue(tr, '4') - this.getValue(tr, '5'))),
 265     '7': new ComputedLine((tr): number => clampToZero(this.getValue(tr, '1') - this.getValue(tr, '6'))),
 266     '8': new ComputedLine((tr): number => {
 267       switch (tr.getForm(Form1040).filingStatus) {
 268         case FilingStatus.Single:
 269         case FilingStatus.MarriedFilingSeparate:
 270           return 39375;
 271         case FilingStatus.MarriedFilingJoint:
 272           return 78750;
 273       };
 274     }),
 275     '9': new ComputedLine((tr): number => Math.min(this.getValue(tr, '1'), this.getValue(tr, '8'))),
 276     '10': new ComputedLine((tr): number => Math.min(this.getValue(tr, '7'), this.getValue(tr, '9'))),
 277     '11': new ComputedLine((tr): number => {
 278       return this.getValue(tr, '9') - this.getValue(tr, '10');
 279     }, 'Amount taxed at 0%'),
 280     '12': new ComputedLine((tr): number => Math.min(this.getValue(tr, '1'), this.getValue(tr, '6'))),
 281     '13': new ReferenceLine(QDCGTaxWorksheet as any, '11'),
 282     '14': new ComputedLine((tr): number => this.getValue(tr, '12') - this.getValue(tr, '13')),
 283     '15': new ComputedLine((tr): number => {
 284       switch (tr.getForm(Form1040).filingStatus) {
 285         case FilingStatus.Single:                return 434550;
 286         case FilingStatus.MarriedFilingSeparate: return 244425;
 287         case FilingStatus.MarriedFilingJoint:    return 488850;
 288       };
 289     }),
 290     '16': new ComputedLine((tr): number => Math.min(this.getValue(tr, '1'), this.getValue(tr, '15'))),
 291     '17': new ComputedLine((tr): number => this.getValue(tr, '7') + this.getValue(tr, '11')),
 292     '18': new ComputedLine((tr): number => clampToZero(this.getValue(tr, '16') - this.getValue(tr, '17'))),
 293     '19': new ComputedLine((tr): number => Math.min(this.getValue(tr, '14'), this.getValue(tr, '18'))),
 294     '20': new ComputedLine((tr): number => {
 295       return this.getValue(tr, '19') * 0.15;
 296     }, 'Amount taxed at 15%'),
 297     '21': new ComputedLine((tr): number => this.getValue(tr, '11') + this.getValue(tr, '19')),
 298     '22': new ComputedLine((tr): number => this.getValue(tr, '12') - this.getValue(tr, '21')),
 299     '23': new ComputedLine((tr): number => {
 300       return this.getValue(tr, '22') * 0.20;
 301     }, 'Amount taxed at 20%'),
 302     '24': new ComputedLine((tr): number => {
 303       return computeTax(this.getValue(tr, '7'), tr.getForm(Form1040).filingStatus);
 304     }, 'Tax on line 7'),
 305     '25': new ComputedLine((tr): number => {
 306       return this.getValue(tr, '20') +
 307              this.getValue(tr, '23') +
 308              this.getValue(tr, '24');
 309     }),
 310     '26': new ComputedLine((tr): number => {
 311       return computeTax(this.getValue(tr, '1'), tr.getForm(Form1040).filingStatus);
 312     }, 'Tax on line 1'),
 313     '27': new ComputedLine((tr): number => {
 314       return Math.min(this.getValue(tr, '25'), this.getValue(tr, '26'));
 315     }, 'Tax on all taxable income')
 316   };
 317 };