Mr. and Mrs. K’s AGI (earned income) was $14,610. Their federal income tax with-holding was $850. They had no itemized deductions and two dependent children, ages 18 and 19. If Mr. and Mrs. K are entitled to a $4,716 earned income credit, compute their income tax refund.
Answer to relevant QuestionsIn each of the following cases, compute AMT (if any). For all cases, assume that tax-able income does not include any dividend income or capital gain. a. Mr. and Mrs. BH’s taxable income on their joint return was $200,000, ...Mr. and Mrs. O file a joint income tax return. Determine if each of the following unmarried individuals is either a qualifying child or a qualifying relative for whom the couple can claim an exemption. a. Son Jack, age 20, ...Tim Loker is the five-year-old godson of Mr. and Mrs. Bryant. Tim’s parents died in an accident on December 18 of last year. Tim was seriously injured in the accident and remained hospitalized until August 12 of this year. ...Mr. and Mrs. WG’s AGI averages $600,000, and they are in the 39.6 percent tax bracket. They support their 22-year-old son who is a full-time college student. Mr. and Mrs. WG are considering giving him a bond portfolio that ...Mr. B owns 10 percent of the stock of ABC Inc. and is the corporation’s director of marketing. ABC has a medical insurance plan for its employees. This year, it paid $1,400 of premiums to the insurance carrier for Mr. ...
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