Income Tax Fundamentals 2020
38th Edition
ISBN: 9780357391129
Author: WHITTENBURG
Publisher: Cengage
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Chapter 7, Problem 4MCQ
To determine
Introduction: Expenses incurred on child care and certain other dependents are compensated by way of a child and dependent care credit. The eligibility criteria for this is the dependent must be either under the age of 13 or should be an incapable dependent or spouse of any age. If the child belongs to divorced parents, then the taxpayer taking care of a child can claim the credit.
To choose: The correct option that does not qualify as a child care expense for the purposes of the child and dependent care credit
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Which of the following statements is false regarding the earned income credit (EIC)?
Multiple Choice
If certain requirements are met, a taxpayer may receive advance payments of EIC.
Maximum amount of the credit depends on the earned income and number of children.
A taxpayer without children cannot claim the credit.
The credit is refundable.
A qualifying individual for the purposes of the child and dependent care expenses credit includes all of the following except:
Multiple Choice
A dependent under the age of 13.
An adult child who is incapable of caring for himself/herself, who lived with the taxpayer for at least half of the year.
A dependent child, age of 17 who attends school full time.
A spouse who is incapable of caring for himself/herself, who lived with the taxpayer for at least half of the year.
For purposes of the Child and Dependent Care Credit, all the following are qualified
expenses except for which one?
a.
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b.
d.
A $700 adult day care expense for a disabled spouse while the taxpayer workers.
A $450 childcare expense while the taxpayer obtains emergency medical care.
A $500 payment to a grandparent for childcare while the taxpayer is employed.
A $350 payment to a day care center while the taxpayer is looking for
employment.
Chapter 7 Solutions
Income Tax Fundamentals 2020
Ch. 7 - Russ and Linda are married and file a joint tax...Ch. 7 - Jennifer is divorced and files a head of household...Ch. 7 - Prob. 3MCQCh. 7 - Prob. 4MCQCh. 7 - Which of the following is not a requirement to...Ch. 7 - For purposes of determining income eligibility for...Ch. 7 - Prob. 7MCQCh. 7 - Prob. 8MCQCh. 7 - Which of the following costs is not a qualified...Ch. 7 - Prob. 10MCQ
Ch. 7 - Prob. 11MCQCh. 7 - Prob. 12MCQCh. 7 - Joan, a single mother, has AGI of $61,500 in 2019....Ch. 7 - Prob. 14MCQCh. 7 - Prob. 15MCQCh. 7 - Prob. 16MCQCh. 7 - Prob. 17MCQCh. 7 - Prob. 18MCQCh. 7 - Prob. 19MCQCh. 7 - Prob. 20MCQCh. 7 - Virginia and Richard are married taxpayers with...Ch. 7 - Calculate the total child and other dependent...Ch. 7 - Prob. 2PCh. 7 - Prob. 3PCh. 7 - Prob. 4PCh. 7 - Prob. 5PCh. 7 - Prob. 6PCh. 7 - Prob. 8PCh. 7 - Prob. 9PCh. 7 - Clarita is a single taxpayer with two dependent...Ch. 7 - Prob. 12PCh. 7 - Prob. 13PCh. 7 - Marty and Jean are married and have 4 -year-old...Ch. 7 - Prob. 15PCh. 7 - Prob. 16PCh. 7 - Prob. 17PCh. 7 - Prob. 18PCh. 7 - Janie graduates from high school in 2019 and...Ch. 7 - Prob. 20PCh. 7 - Prob. 21PCh. 7 - Carl and Jenny adopt a Korean orphan. The adoption...Ch. 7 - Prob. 23PCh. 7 - Prob. 24PCh. 7 - Prob. 25P
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