Carolyn has an AGI of $39,100 (all from earned income) and two qualifying children and is filing
Fantastic news! We've Found the answer you've been seeking!
Question:
Carolyn has an AGI of $39,100 (all from earned income) and two qualifying children and is filing as a head of household. What amount of earned income credit is she entitled to? Use (Exhibit 8-10)
Transcribed Image Text:
EXHIBIT 8-10 2020 Earned Income Credit Table Qualifying Children 0 1 2 3+ 0 1 2 3+ (1) Maximum Earned Income Eligible for Credit $ 7,030 10,540 14,800 14,800 (2) Credit % 7.65% 34 40 45 (3) Maximum Credit (1) × (2) 7.65% 34 40 45 (4) Credit Phase-Out for AGI (or earned income if greater) Over This Amount Married taxpayers filing joint returns $14,680 25,220 25,220 25,220 $538 3,584 5,920 6,660 All taxpayers except married taxpayers filing joint returns $ 538 $ 7,030 10,540 3,584 14,800 5,920 14,800 6,660 Source: Internal Revenue Code. "Rev. Proc. 2018-57." www.irs.gov. (5) Phase-Out Percentage $8,790 19,330 19,330 19,330 7.65% 15.98 21.06 21.06 7.65% 15.98 21.06 21.06 No Credit When AGI (or earned income if greater) Equals or Exceeds This Amount (4) + [(3)/(5)] $21,710 47,646 53,330 56,844 $15,820 41,756 47,440 50,954 EXHIBIT 8-10 2020 Earned Income Credit Table Qualifying Children 0 1 2 3+ 0 1 2 3+ (1) Maximum Earned Income Eligible for Credit $ 7,030 10,540 14,800 14,800 (2) Credit % 7.65% 34 40 45 (3) Maximum Credit (1) × (2) 7.65% 34 40 45 (4) Credit Phase-Out for AGI (or earned income if greater) Over This Amount Married taxpayers filing joint returns $14,680 25,220 25,220 25,220 $538 3,584 5,920 6,660 All taxpayers except married taxpayers filing joint returns $ 538 $ 7,030 10,540 3,584 14,800 5,920 14,800 6,660 Source: Internal Revenue Code. "Rev. Proc. 2018-57." www.irs.gov. (5) Phase-Out Percentage $8,790 19,330 19,330 19,330 7.65% 15.98 21.06 21.06 7.65% 15.98 21.06 21.06 No Credit When AGI (or earned income if greater) Equals or Exceeds This Amount (4) + [(3)/(5)] $21,710 47,646 53,330 56,844 $15,820 41,756 47,440 50,954
Expert Answer:
Answer rating: 100% (QA)
Locate Carolyns situation in Exhibit 810 Filing status ... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
Students also viewed these finance questions
-
Which of the following is an example of unearned income? Compensation received by a self-employed, freelance writer for services provided. Interest earned on a savings account. Tips. Wages from a...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-4. Ivan and Irene paid the following in 2012 (all by check or can otherwise be...
-
1. List five line coding schemes discussed in this book. 2. Define block coding and give its purpose. 3. Define scrambling and give its purpose. 4. Compare and contrast PCM and DM 5. What are the...
-
Why is the investment-casting process capable producing fine surface detail on castings?
-
Select a product that is advertised exclusively through print using a long-copy format. Examples might be business-to-business and industrial products, over-the-counter drugs, and some car and...
-
Pags Products has projected the following sales for the coming year: Sales in the year following this one are projected to be 15 percent greater in each quarter. a. Calculate payments to suppliers...
-
The Alpine school district engaged in the following transactions in its scal year ending August 31, 2015. By law, the district is required to establish a capital projects fund to account for school...
-
QUESTION 3 On the 1 April 2019, Maria Turbines Ltd purchased some property for $4 200 000; recognised at $3 000 000 for land and $1 200 000 for a building. The straight line depreciation method was...
-
The director of RCM inc. plans to launch a new product. The initial investment in equipment and other fittings is $800,000. It's been a while since management thinking of launching this new product....
-
A child's ball (a thin hollow uniform sphere) of mass 34.6 g and radius 0.187 m starts from rest and rolls without slipping down an inclined plane of vertical height 6.53 m. What is the angular speed...
-
Green Company constructed a machine at a total cost of $73.90 million. Construction was completed at the end of 2020 and the machine was placed in service at the beginning of 2021. The machine was...
-
A (1.50x10^1) liter bottle is filled with nitrogen (N2) at STP and closed tight. (STP means "Standard Temperature and Pressure", i.e. 273 K and 1 atm.). To three significant figures, how many...
-
ABC Registered, a sole proprietorship, began carrying on a business on September 1, 2023. A calendar based fiscal period ending December 31 was chosen. On October 1, 2023 the proprietorship purchased...
-
Mary carries on business as a sole proprietor that generated $100,000 in net accounting income. Included in this amount are: $7,000 of amortization expense; $4,000 for bad debt expense; $112,000 cost...
-
A 100 N uniform ladder of length 8 m rests against a smooth vertical wall. It the coefficient of static friction between the ladder and the floor is .4, what is the maximum angle that the ladder can...
-
Using Section 8 of the Financial Services Commission Act in Jamaica, critically analyze whether the FSC had sufficient powers to prevent the recent fraud that has allegedly occurred at SSL Brokers
-
For the following exercises, find the inverse of the function and graph both the function and its inverse. f(x) = 4 x 2 , x 0
-
Rebecca and Walter Bunge have been married for 5 years. They live at 883 Scrub Brush Street, Apt. 52B, Las Vegas, NV 89125. Rebecca is a homemaker and Walt is a high school teacher. Rebecca's Social...
-
For each of the following situations, indicate whether the taxpayer(s) is (are) required to file a tax return for 2012. Explain your answer. a. Helen is a single taxpayer with interest income in 2012...
-
Frank Willingham has the following transactions during the year: Sale of office equipment on March 15 that cost $20,000 when purchased on July 1, 2010. Frank has claimed $5,000 in depreciation and...
-
For the following, determine if the given point is a removable singularity, an essential singularity, or a pole (indicate its order). a. \(\frac{1-\cos z}{z^{2}}, \quad z=0\). b. \(\frac{\sin...
-
Find the Laurent series expansion for \(f(z)=\frac{\sinh z}{z^{3}}\) about \(z=0\). [You need to first do a MacLaurin series expansion for the hyperbolic sine.]
-
Find the residues at the given points: a. \(\frac{2 z^{2}+3 z}{z-1}\) at \(z=1\). b. \(\frac{\ln (1+2 z)}{z}\) at \(z=0\). c. \(\frac{\cos z}{(2 z-\pi)^{3}}\) at \(z=\frac{\pi}{2}\).
Study smarter with the SolutionInn App