Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Becky is 25 years old and unmarried. She has two children: Seth is 7 years old and Kathleen was bom in 2021. They all lived

Becky is 25 years old and unmarried. She has two children: Seth is 7 years old and Kathleen was bom in 2021. They all lived with Donna. Becky's mother, in 2021. Seth and Kathleen's father do not live with them, and Becky has not signed a Form 8332 Becky works full-time and made $30,000 in 2021. The children attended daycare while she worked. She received a statement from her childcare provider showing that she paid $8,000 for the care of both children for the year. Donna is unmarried and eamed $25,000 in 2021. Donna paid over half the costs of keeping up the home for herself, Becky and Becky's children. In 2020, Donna's adjusted gross income (AGI) was higher than Becky's and Becky allowed Donna to claim Seth as a dependent. Donna received a $2.800 third Economic Impact Payment (EIP 3) in 2021. Becky received an EIP 3 of $1,400 Donna opted out of the advance payments of the Child Tax Credit. Becky did not receive any advance payments of the Child Tax Credit. Becky. Donna, Seth, and Kathleen are at U.S. citizens with valid Social Security numbers and lived in the United States all year. 2. Donna must file as Single and Becky may file as Head of Household. OA. True, because Donna does not have a qualifying person for Head of Household B. True, because Becky has a qualifying person for Head of Household OC. False, because Donna has a qualifying person for Head of Household D. False, Becky cannot claim Head of Household because she doesn't pay more than half the cost of keeping up the home and Donna doesn't have a qualifying person

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions