a. Bruno and Bridget are married and file a joint return, with earned income of $48,000 and $12,000, respectively. Their combined AGI is $58,000. They have two children, ages 10 and 12, and employ a live-in nanny at an annual cos Refer to the information provided and compute the child and dependent care tax credit. Qualifying expenses eligible Child and dependent care tax credit Requirement Applicable percentage = For each of the independent situations, determine the amount of the child and dependent care tax credit. (Assume that both taxpayers are employed and the year is 2022.) Independent Situations a Bruno and Bridget are married and file a joint return, with earned income of $48,000 and $12,000, respectively. Their combined AGI is $58,000. They have two children, ages 10 and 12, and employ a live-in nanny at an annual cost of $8,000. b. c. Blake is divorced and has two children, ages 10 and 16. He has AGI and earned income of $28,000. Blake incurs qualifying child care expenses of $10,000 during the year, incurred equally for both children. Blake's employer maintains an employee dependent care assistance program. $700 was paid to Blake from this program and excluded from Blake's gross income. Assume the same facts as in Part a, except that Bruno and Bridget employ Bridget's mother, who is not their dependent, as the live-in nanny.
a. Bruno and Bridget are married and file a joint return, with earned income of $48,000 and $12,000, respectively. Their combined AGI is $58,000. They have two children, ages 10 and 12, and employ a live-in nanny at an annual cos Refer to the information provided and compute the child and dependent care tax credit. Qualifying expenses eligible Child and dependent care tax credit Requirement Applicable percentage = For each of the independent situations, determine the amount of the child and dependent care tax credit. (Assume that both taxpayers are employed and the year is 2022.) Independent Situations a Bruno and Bridget are married and file a joint return, with earned income of $48,000 and $12,000, respectively. Their combined AGI is $58,000. They have two children, ages 10 and 12, and employ a live-in nanny at an annual cost of $8,000. b. c. Blake is divorced and has two children, ages 10 and 16. He has AGI and earned income of $28,000. Blake incurs qualifying child care expenses of $10,000 during the year, incurred equally for both children. Blake's employer maintains an employee dependent care assistance program. $700 was paid to Blake from this program and excluded from Blake's gross income. Assume the same facts as in Part a, except that Bruno and Bridget employ Bridget's mother, who is not their dependent, as the live-in nanny.
Chapter1: Financial Statements And Business Decisions
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