Jeff (52) is unmarried. Jeff's wife, Michelle, died on May 30, 2019. For 2019, he filed a joint return. He has not remarried. Jeff's daughter, Hailey (19), is single and lived with him for five months in 2020. They are both U.S. citizens and have valid social security numbers. Jeff does not provide more than 50% of Hailey's support. Hailey is not a student. Jeff's 2020 income consisted of $39,000 in wages and $1,200 in dividends. Hailey's wages were $10,533. Jeff had no other income, including any foreign income. 1.What is Jeff's correct and most favorable 2020 filing status?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Jeff (52) is unmarried. Jeff's wife, Michelle, died on May 30, 2019. For 2019, he filed a joint return. He has not remarried. Jeff's daughter, Hailey (19), is single and lived with him for five months in 2020. They are both U.S. citizens and have valid social security numbers. Jeff does not provide more than 50% of Hailey's support. Hailey is not a student. Jeff's 2020 income consisted of $39,000 in wages and $1,200 in dividends. Hailey's wages were $10,533. Jeff had no other income, including any foreign income.

1.What is Jeff's correct and most favorable 2020 filing status?

  1. Single.
  2. Married filing jointly.
  3. Married filing separately.

2.What is Hailey's dependency status for Jeff?

  1. She is not a dependent of Jeff.
  2. Qualifying Relative Dependent.
  3. Qualifying Child Dependent.

3.Is Jeff eligible to claim the Child Tax Credit (CTC) and Additional Child Tax Credit (if the CTC is limited), or the Other Dependent Credit for any potential dependent? Choose the best response.

  1. Jeff is eligible to claim the Child Tax Credit/Additional Child Tax Credit.
  2. Jeff is eligible to claim the Other Dependent Credit.
  3. Jeff is not eligible to claim the Child Tax Credit/Additional Child Tax Credit or the Other Dependent Credit.

4.Is Jeff eligible to claim and receive the Earned Income Credit for 2020?

Yes No
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