Caroline, age 66 and filing single as a dependent of another, received the following income items for 2013:
Social Security benefits (nontaxable) ....................... $ 3,000
Pension benefits (taxable) .................................... 6,450
Interest income (taxable) ..................................... 2,050
Total ............................................................. $11,500
Caroline's tax liability (before credits) is $200.
a. What is Caroline's tentative tax credit for the elderly (before the tax liability limitation is applied)?
b. What is Caroline's allowable tax credit?