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Henry, age 70 and single, is claimed as a dependent on his daughter's tax return. During 2017, he had interest income of $4,000 and $800
Henry, age 70 and single, is claimed as a dependent on his daughter's tax return. During 2017, he had interest income of $4,000 and $800 of earned income from consulting. Henry's taxable income is:
a.$1,400.
b.$1,300.
c.$2,100.
d.$0.
e.None of these choices are correct.
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Incorrect. $4,000 gross income greater of $1,050 or ($800 earned income + $350) $1,550 (additional standard deduction for age 65 and older) = $1,300.
Why is Henry's gross income only 4000? Why is his consulting work not included?
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