Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please Use 2022 tax law. Andy and Sally are married and under 50. They have 3 children ages 7,9 and 11. They pay Sallys mom

Please Use 2022 tax law.

Andy and Sally are married and under 50. They have 3 children ages 7,9 and 11. They pay Sallys mom $200 a month for the entire year to care for the children.

Sallys salary (Federal withholding $ 800) 8,000

Andys salary (Federal withholding $500) 7,000

If they take a standard deduction, compute their taxable income:

1.Do they qualify for an earned income credit? Why or why not? If so, how much?

2.Do they qualify for a childcare credit? Why or why not? If so, how much?

3.Do they qualify for a child tax? Why or why not? If so, how much?

4.Compute their tax

5.Compute their tax liability or refund:

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Students also viewed these Accounting questions