1) Brian and Kim have a 12-year-old child, Stan. For 2016, Brian and Kim have taxable income of $52,000, and Stan has nonqualifying dividend income of $4,500 and investment expenses of $250. No election is made to include Stan's income on Brian and Kim's return.

a. For purposes of the tax on a child's unearned income, calculate Stan's net unearned income. $

b. Calculate the amount of Stan's tax at his parents' rate. $

c. Calculate Stan's total tax for 2016.

Note: Assume a 10% rate on regular taxable income.

2) Otto and Monica are married taxpayers who file a joint tax return. For the current tax year, they have AGI of $127,200. They have excess depreciation on real estate of $89,040, which must be added back to AGI to arrive at AMTI. The amount of their mortgage interest expense for the year was $25,440, and they made charitable contributions of $12,720. They have no other itemized deductions.

If Otto and Monica's taxable income for the current year is $80,940, determine the amount of their AMTI. $

3) In 2016, Jeff spends $6,000 on solar panels to heat water for his main home.

What is Jeff's credit for his 2016 purchases? $