Jose is unmarried with no qualifying children. He has $8,300 of 2015 wages and is otherwise eligible

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Jose is unmarried with no qualifying children. He has $8,300 of 2015 wages and is otherwise eligible for the earned income credit. Jose has $200 of interest income and no for AGI deductions.
a. What is Jose’s tentative earned income credit before phaseout?
b. What is Jose’s allowable earned income credit?
c. If Jose has no income tax liability (before the earned income credit is subtracted), is he entitled to a refund for the current year?
d. Would your answer to Part b change if Jose had dividend and interest income of $3,700 during the taxable year? Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Federal Taxation 2016 Comprehensive

ISBN: 9780134104379

29th Edition

Authors: Thomas R. Pope, Timothy J. Rupert, Kenneth E. Anderson

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