In 2021, Zach is single with no dependents. He is not claimed as a dependent on...
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In 2021, Zach is single with no dependents. He is not claimed as a dependent on another's return. All of his income is from salary and he does not have any for AGI deductions. What is his earned income credit in the following alternative scenarios? Use Exhibit 8-11. (Round your Intermedlate and final answers to the nearest whole dollar amount. Round your final answer to the nearest whole dollar amount. Leave no answer blank. Enter zero If applicable.) EXHIBIT 8-11 2021 Earned Income Credit Table No Credit When AGI (or earned income if greater) Equals or Exceeds This Amount (4) Credit Phase-Out for (1) Maximum Earned (3) Maximum Income Eligible for Credit AGI (or earned income if greater) Over This Amount (5) Phase-Out Credit Qualifying Children (2) Credit % (1) x (2) Percentage (4) + [(3)/(5)] Married taxpayers filing joint returns $ 9,820 15.3% $1,502 $14,820 15.3% $24,637 1 10,640 34 3,618 25,470 15.98 48,108 2 14,950 40 5,980 25,470 21.06 53,865 3+ 14,950 45 6,728 25,470 21.06 57,414 All taxpayers except married taxpayers filing joint returns $ 9,820 15.3% $ 1,502 $ 11,610 15.3% $21,427 1 10,640 34 3,618 19,520 15.98 42,158 2 14,950 40 5,980 19,520 21.06 47,915 3+ 14,950 45 6,728 19,520 21.06 51,464 Source: Internal Revenue Code. "Rev. Proc. 2020-45." www.irs.gov. a. Zach is 29 years old and his AGI is $5,100. Answer is complete but not entirely correct. Earned income credit 1,454 X b. Zach is 29 years old and his AGI is $9,500. 8 Answer is complete but not entirely correct. Earned income credit 601 8 In 2021, Zach is single with no dependents. He is not claimed as a dependent on another's return. All of his income is from salary and he does not have any for AGI deductions. What is his earned income credit in the following alternative scenarios? Use Exhibit 8-11. (Round your Intermedlate and final answers to the nearest whole dollar amount. Round your final answer to the nearest whole dollar amount. Leave no answer blank. Enter zero If applicable.) EXHIBIT 8-11 2021 Earned Income Credit Table No Credit When AGI (or earned income if greater) Equals or Exceeds This Amount (4) Credit Phase-Out for (1) Maximum Earned (3) Maximum Income Eligible for Credit AGI (or earned income if greater) Over This Amount (5) Phase-Out Credit Qualifying Children (2) Credit % (1) x (2) Percentage (4) + [(3)/(5)] Married taxpayers filing joint returns $ 9,820 15.3% $1,502 $14,820 15.3% $24,637 1 10,640 34 3,618 25,470 15.98 48,108 2 14,950 40 5,980 25,470 21.06 53,865 3+ 14,950 45 6,728 25,470 21.06 57,414 All taxpayers except married taxpayers filing joint returns $ 9,820 15.3% $ 1,502 $ 11,610 15.3% $21,427 1 10,640 34 3,618 19,520 15.98 42,158 2 14,950 40 5,980 19,520 21.06 47,915 3+ 14,950 45 6,728 19,520 21.06 51,464 Source: Internal Revenue Code. "Rev. Proc. 2020-45." www.irs.gov. a. Zach is 29 years old and his AGI is $5,100. Answer is complete but not entirely correct. Earned income credit 1,454 X b. Zach is 29 years old and his AGI is $9,500. 8 Answer is complete but not entirely correct. Earned income credit 601 8
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a Zach is 29 years old and his AGI is 5100 1 Earned income 5100 2 max earned income eligible for ear... View the full answer
Related Book For
Essentials of Federal Taxation 2018
ISBN: 9781260007640
9th edition
Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver
Posted Date:
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