LO 6.5 18. Carl and Jenny adopt a Russian orphan. The adoption takes 2 years and two

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LO 6.5 18. Carl and Jenny adopt a Russian orphan. The adoption takes 2 years and two trips to Russia and is final in 2010. They pay $6,000 in 2009 and $7,500 in 2010 of qualified adoption expenses, and have AGI of $150,000.

a. What is the adoption credit Carl and Jenny can claim in 2010?

$ ____________

b. How much credit could they claim if the adoption falls through and is never finalized?

_______________________________________________________________________

c. How much credit could they claim if their AGI was $200,500?

_______________________________________________________________________

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Income Tax Fundamentals 2011

ISBN: 9780538469197

29th Edition

Authors: Gerald E. Whittenburg, Martha Altus-Buller

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