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Debbie is 2 3 years old, a full - time student, and a dependent of her parents. She earns $ 4 , 2 0 0

Debbie is 23 years old, a full-time student, and a dependent of her parents. She earns $4,200
working part-time and receives $2,800 interest on savings. She saves both the salary and the
interest and does not use it for her support. Debbies parents marginal tax rate is 22%. Answer
the following questions for the current year:
a) What is Debbies taxable income?
b) What is Debbies net unearned income?
c) What is the amount of kiddie tax Debbie must pay, if any?
d) What is the total amount of Debbies tax liability?
e) How would your answers to parts a) b) c) and d) change if Debbie received $4,200 for working part-time and $2,100 in interest on savings?

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