Answered step by step
Verified Expert Solution
Link Copied!

Question

...
1 Approved Answer

Required information [The following information applies to the questions displayed below.) Julie paid a day care center to watch her two-year-old son while she worked

image text in transcribed
image text in transcribed
Required information [The following information applies to the questions displayed below.) Julie paid a day care center to watch her two-year-old son while she worked as a computer programmer for a local start-up company. What amount of child and dependent care credit can Julie claim in 2021 in each of the following alternative scenarios? Use Exhibit 8-10 e. Julie paid $5,400 to the day care center and her AGI is $14,000 ($3,400 salary and $10,600 unearned income). Child and dependent care credit EXHIBIT 8-10 Child and Dependent Care Credit Percentage I AGI is over But not over Then the percentage is $ 0 $125,000 50% 125.000 127,000 49 127.000 129.000 48 129,000 131,000 47 181,000 183,000 21 183,000 400.000 20 400,000 402,000 19 402.000 404,000 18 434,000 436,000 2 436,000 438,000 438.000 0 Source: Source: Internal Revenue Code. "$ 21. Expenses For Household And Dependent Care Services Necessary For Gainful Employment." 1

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

Recommended Textbook for

Fundamentals of Financial Accounting

Authors: Fred Phillips, Robert Libby, Patricia Libby

5th edition

978-0078025914

Students also viewed these Accounting questions

Question

1. Prove statement (6).

Answered: 1 week ago