3. How does a tax deduction differ from a tax credit? 9. Are taxpayers allowed to claim the additional old-age or blindness standard deduction for dependents? 11. Bill and Becky had a child born on April 15. The child died within three hours of birth. Can they claim an exemption for the child? 14. Explain the concept of the "multiple support agreement." What are the requirements for such agreement? 20. Calculate the number of exemptions that could be claimed and the standard deduction that the taxpayer is entitled to take in 2021 in each of the following independent cases: a) John, age 66, and his wife, age 64, file a joint return. b) Jack, age 62 and blind, and his wife, who became 65 on January 1st of the following year, file a joint return. c) Jim and Mary, both 52, contribute more than half the support for Jim's father, who lives with them. Jim's father is 72 and blind. Jim and Mary file a joint return. d) Harry, age 66, is a widower who maintains a home for himself and his 22-year-old son who attends college full time period Harry provided more than 1/2 of his son support e) Jackson is 28 and his wife, Joan, is 27. They have two children, 13-year-old and the other seven years old period on March 29th of this year, Joan gave birth to a daughter, who died the next day. Jackson and Joan filed a joint return. f) Joe, age 65, and his wife, Joanne, age 64, maintain a home for their unmarried daughter, age 23, who earned $4000 and attends college on a part time basis. Joe and Joanne contributed $6000 toward her support. Joe and Joanne filed a joint return. g) William, a 42-year-old bachelor, pays $450 per month support for his 75-year-old mother who is disabled and is living in a rest home. She receives a taxable pension of $100 per month and uses the entire $550 per month for a routine living expenses. h) Same as g, except Williams mother also receives $400 per month from dividends on stock she owns. She also uses this amount for routine living expenses. i) Billy Bob and his wife, Mary Sue, both 45, maintain a home for Mary Sue's friend, Jackie Jo, age 17, who came to dinner one night several years ago and has lived with them since. Jackie Jo attends school and has no income. Billy Bob and Mary Sue file a joint return. j) Benson, a 45 year old widower, maintains a home for his 22 year old son, Chester, who attends college full time on a $4000 per year scholarship. Chester also works part time while at school, earning $1500 per year. Benson contributes $2000, which constitutes the balance of Chester support for the year. k) Same as j, accept Chester contributes the $4000 per year from his savings account instead of receiving it from the scholarship award. l) Richard, a bachelor under 65, maintains a home in which a son of a deceased friend has lived the entire year. Richard furnishes over 1/2 of the support of the young man, who attends school. The young man also works part time after school, earning $2800 per year. m) Dan and his wife, Pam, maintain a household for and completely support 3 foster children. The children have been living in Dan and pam's home all year. On December 31st of the tax year, Pam gives birth to a son. 28. What is the difference between the tax tables and the tax rate schedules? 30. Tom and Linda are married taxpayers who file a joint return. They have itemized deductions of $28,100 and four exemptions. Assuming an adjusted gross income of $40,000, what is their taxable income for 2021? 31. Compute Mary's taxable income for 2021, assuming she is single and claims two dependent children. Her adjusted gross income is $70,000, and she has itemized deductions of $19,800. 32. Which of the following taxpayers should itemize? Explain. a. Robert is a single taxpayer. He has itemized deductions of $12,750 b. Jane qualifies as head of household. Her itemized deductions total $18,000. c. Brian is married and files a separate return. He has itemized deductions of $12,750 d. Lisa is a surviving spouse. Her itemized deductions are $24,800 61. Comprehensive Problem. Richard and Jennifer were married in 2012. They have a 5-year-old child and a son born November 15th 2021. Richard 67-year-old father lived in a nursing home until his death on May 23rd 2021. Richard and Jennifer provided all of his support until his death. Richard earned $43,000 in salary during the year. They also received $2100 in interest from the credit union. They incurred $17,000 in itemized deductions during the year. Compute Richard and Jennifer's income tax for 2021 using the tax rate schedules. 62. Comprehensive Problem. Scott and Glenna are married with two dependent children. They have $74,000 in wage income and $4600 in interest income on some bonds they own. They have deductions for adjusted gross income of $4000 and itemized deductions of $25,300. Neither of the children has any income. Determine the tax savings for the family if Scott and Glenna were to transfer the bonds to the children, both under 18