The payment to Adrienne’s mother is a permitted child-care expense. The amount of employment-related expense is limited to the lesser of $3,000 (in the case of one qualifying child) or the amount of earned income. Here, Adrienne’s expense amount is $1,900 – the amount of her earned income. She is entitled to a credit percentage based on her AGI, which is $22,900 ($1,900 $21,000). The applicable percentage is 31%. Thus, Adrienne is entitled to a child and dependent care tax credit of $589 ($1,900

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