Calculate the amount of the child and dependent care credit allowed before any tax liability limitations or other credits for 2022 in each of the following cases, assuming the taxpayers had no income other than the stated amounts.

TABLE 6.1

CHILD AND DEPENDENT CARE CREDIT PERCENTAGES

Adjusted Gross Income				Applicable Percentage
Over		But Not Over
$0		$15,000		35%
15,000		17,000		34%
17,000		19,000		33%
19,000		21,000		32%
21,000		23,000		31%
23,000		25,000		30%
25,000		27,000		29%
27,000		29,000		28%
29,000		31,000		27%
31,000		33,000		26%
33,000		35,000		25%
35,000		37,000		24%
37,000		39,000		23%
39,000		41,000		22%
41,000		43,000		21%
43,000		No limit		20%

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a. William and Carla file a joint tax return. Carla earned $27,500 during the year, while William attended law school full-time for nine months and earned no income. They paid $3,500 for the care of their 3-year-old child, Carl. Round your answer to the nearest whole dollar. fill in the blank 1 of 1$

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Taxpayers are allowed a credit for expenses for the care of their children and certain other dependents. To be eligible for the child and dependent care credit, the dependent must either be under the age of 19 or be a dependent or spouse of any age who is incapable of self-care. If a child's parents are divorced, the child need not be the dependent of the taxpayer claiming the credit, but the child must live with that parent more than he or she lives with the other parent.

The child and dependent care credit is equal to statutory percent of the qualified expenses that decreases as adjusted gross income increases. In determining the credit, the maximum amount of qualified expenses, to which the applicable percentage is applied, is $3,000 for one dependent and $6,000 for two or more dependents.

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b. Raymond and Michele file a joint tax return. Raymond earned $83,000 during the year, while Michele earned $139,000 for the year from a part-time job. They paid $17,000 for the care of their two children under age 13.