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Problem 7-10 Earned Income Credit, Child and Dependent Care Credit (LO 7.2, 7.3) Clarita is a single taxpayer that lives in the U.S. with
Problem 7-10 Earned Income Credit, Child and Dependent Care Credit (LO 7.2, 7.3) Clarita is a single taxpayer that lives in the U.S. 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 Over Applicable Percentage 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 31% 23,000 25,000 30% 25,000 27,000 29% 27,000 29,000 28% 29,000 31,000 27% 31,000 33,000 26% 33,000 35,000 25% 35,000 37,000 24%
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