Charlotte (age 40) is a surviving spouse and provides all of the support of her four minor children who live with her (all are under age 16). She also maintains the household in which her parents live and furnished 60% of their support. Besides interest on City of Miami bonds in the amount of $5,500, Charlotte's father received $2,400 from a part-time job. Charlotte has a salary of $80,000, a short-term capital loss of $2,000, a cash prize of $4,000 from a church raffle, and itemized deductions of $10,500.

Click here to access the standard deduction table to use, if required. If an amount is zero, enter "$0".

a. Compute Charlotte's taxable income. $

b. Using the Tax Rate Schedules (click here), tax liability (before any allowable credits) for Charlotte is $ for 2020.

c. Compute Charlotte's child and dependent tax credit. Charlotte's child tax credit is $, of which $ may be refundable and her dependent tax credit is $ of which $ may be refundable.

2020 Tax Rate Schedules Single-Schedule X If taxable income is: But not Over- over- of the amount Head of household-Schedule Z If taxable income is: But not Over- over- The tax is: of the amount The tax is: over- over- $ 0 $ 9,875 ......... 10% $ 0 $ 0 $ 14,100 ......... 10% $ 0 53,700 $ 1,410.00 + 12% 14,100 14,100 53,700 6,162.00 + 22% 85,500 163,300 53,700 85,500 85,500 13,158.00 + 24% 163,300 207,350 31,830.00 + 32% 163,300 9,875 40,125 $ 987.50 + 12% 9,875 40,125 85,525 4,617.50 + 22% 40,125 85,525 163,300 14,605.50 + 24% 85,525 163,300 207,350 33,271.50 + 32% 163,300 207,350 518,400 47,367.50 + 35% 207,350 518,400 156,235.00 + 37% 518,400 Married filing jointly or Qualifying widow(er) - Schedule Y-1 207,350 518,400 45,926.00 + 35% 207,350 518,400 518,400 154,793.50 + 37% Married filing separatelySchedule Y-2 If taxable income is: Over- But not of the amount over- If taxable income is: Over- But not of the amount over- over- The tax is: over- The tax is: $ 0 $ 19,750 ......... 10% $ 0 $ 0 $ 9,875 .........10% $ 0 19,750 $ 1,975.00 + 12% 9,875 40,125 $ 987.50 + 12% 9,875 80,250 171,050 80,250 9,235.00 + 22% 40,125 40,125 85,525 171,050 19,750 80,250 171,050 326,600 414,700 4,617.50 + 22% 14,605.50 + 24% 326,600 29,211.00 + 24% 66,543.00 + 32% 85,525 163,300 207,350 85,525 163,300 326,600 414,700 163,300 33,271.50 + 32% 414,700 622,050 94,735.00 + 35% 207,350 311,025 47,367.50 + 35% 207,350 622,050 167,307.50 + 37% 622,050 311,025 83,653.75 + 37% 311,025