Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Dale and Mary, filing Married Filing Jointly, have two children: Robert, age 1 5 , and Marcia, age 1 9 . They also support Mary's

Dale and Mary, filing Married Filing Jointly, have two children: Robert, age 15, and Marcia, age 19. They also support Mary's father, age 59, who lives separately, as a dependent. For the 2023 tax year, their Modified Adjusted Gross Income (MAGI) is $40,000, and their income tax liability before credits is $1,993. Additionally, they are eligible for an Earned Income Credit (EIC) of $2,715 and have calculated an Additional Child Tax Credit (ACTC) amount of $507. Considering the maximum Child Tax Credit used to offset their tax liability brings their total tax to zero. What is the refundable portion of the Child Tax Credit they can expect on Form 1040 for tax year 2023?
a) $3,200
b) $1,600
c) $507
d) $0

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

Step: 3

blur-text-image

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

Advanced Accounting

Authors: Floyd A. Beams, Joseph H. Anthony, Bruce Bettinghaus, Kenneth Smith

11th Edition

978-0132568968, 9780132568968

More Books

Students also viewed these Accounting questions