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. Problem 7-10 Child and Dependent Care Credit (LO 7.3) Clarita is a single taxpayer with two dependent children, ages 10 and 12. Clarita pays
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Problem 7-10 Child and Dependent Care Credit (LO 7.3) Clarita is a single taxpayer with two dependent children, ages 10 and 12. Clarita pays $3,000 in qualified child care expenses during the year. TABLE 6.1 CHILD AND DEPENDENT CARE CREDIT PERCENTAGES Adjusted Gross Income Applicable Percentage Over But Not Over $0 $15,000 35% 15,000 17,000 34% 17,000 19,000 33% 19,000 21,000 32% 21,000 23,000 23,000 25,000 27,000 29% 27,000 29,000 29,000 31,000 31,000 33,000 26% 33,000 35,000 25% 35,000 37,000 24% 37,000 39,000 23% 39,000 41,000 22% 41,000 43,000 21% 43,000 No limit 31% 25,000 30% 28% 27% 20% If her adjusted gross income (all from wages) for the year is $19,500 and she takes the standard deduction, calculate Clarita's earned income credit and child and dependent care credit for 2019. Click here to view the Earned Income Credit table. Child and dependent care credit Earned income creditStep by Step Solution
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