Errors, Errata and Corrections
Dear Students,
Welcome to the "Errata and Corrections" section for our textbook, "Establishing the Tax Foundation." This page is dedicated to listing any identified errors or discrepancies found in the printed version of the book. Please note that the online version has been updated to include the necessary corrections.
We understand the importance of accuracy in our educational materials and strive to maintain the highest quality possible. As you come across any errors in the printed textbook, this page will provide the corresponding corrections to ensure you have the most reliable information.
Thank you for your understanding and your commitment to continuous learning.
Best regards,
Ken Bostrom
Director of Education and Operations
Universal Accounting Center
Page 2.36
W-2 for Warren P Danielson
This may not be an addition error in the printing of the book. This may be either an addition error of the Home State Bank or a change based on rounding the different paychecks.
Home State Bank withheld 3367.20 in Social Security from Warren's checks. If you multiply 54301.86 x 6.2% you will be at 3366.72. This is about a .48 difference. This could have been a rounding difference of multiple checks. Even a 1-cent difference in weekly checks could account for this total.
The W-2 is the form we will use for the taxes. We will use the $3,367 as it would round to the same amount with either number.
Page 3.17
2023 added a new box on 1099-DIV
Box 11. FATCA Filing Requirement
Check the box for a U.S. payer that is reporting on Form(s) 1099 (including reporting distributions in boxes 1 through 3 and 9, 10, 12, and 13 on this Form 1099-DIV) as part of satisfying their requirement to report with respect to a U.S. account for the purposes of chapter 4 of the Internal Revenue Code.
New Box 11.
The “FATCA filing requirement” checkbox has been assigned box number 11. Subsequently, box numbers 11 through 15 have been renumbered 12 through 16, respectively.
Page 5.59
Correction on Social Security Number
Social Security Number was corrected to 234-56-7890
Page 6.23
Box 2a: Taxable Amount
The taxable portion of the gross distribution is reported here. If it is the same as the amount in Box 1, it should be entered on Line 5b of Form 1040. If the Box 2a amount is less than the amount in Box 1, also enter the Box 1 amount on Form 1040, Line 5a.
Page 6.33
Box 5: Net Benefits
The number in this box is the difference between Box 3 and Box 4, if any. This represents the net benefits received for the year. This amount should be reported on Line 6a of Form 1040.
Page 9.14
In the Example 2. We removed the last 4 digits of 2495
They were there by mistake.
Page 10.8
Three small changes. In the second paragraph, last sentence, we have two numbers in parentheses that changed: (145,000 MFJ) and (175,000 MFJ)
The Student Loan Interest Deduction Worksheet Line 5 is: 145,000