Jack paid a day care center to watch his two-year-old son while he worked as a computer programmer for a local start-up company.

What amount of child and dependent care credit can Jack claim in 2021 in each of the following alternative scenarios? Use Exhibit 8-10

a. Jack paid $4,600 to the day care center and his AGI is $125,500 (all salary).

Child and dependent care credit _____________

b. Jack paid $4,600 to the day care center and his AGI is $14,000 ($2,600 salary and $11,400 unearned income).

Child and dependent care credit _____________

If AGI is over But not over Then the percentage is $ 0 $125,000 50% 125,000 127,000 49 127,000 129,000 48 129,000 131,000 47 181,000 183,000 21 183,000 400,000 20 400,000 402,000 19 402,000 404,000 18 434,000 436,000 2 436,000 438,000 1 438,000 0