Income Tax Fundamentals 2020
38th Edition
ISBN: 9780357391129
Author: WHITTENBURG
Publisher: Cengage
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Chapter 6, Problem 10MCQ
To determine
Concept Introduction:
The income of a minor child is included in the income of the close relative and this concept of income tax is called clubbing of income (also called kiddie tax). Hence the tax on unearned income of the minor child is paid by the parent.
To choose:The condition not required to subject a taxpayer to tax on unearned income of minors.
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Students have asked these similar questions
which of the following is required for a taxpayer to be subject to the tax on unearned income of minors ( kiddie tax) in 2020?
a) must have no earned income
b) 21 years of age or younger
c) both parents must be living
d) net unearned income must exceed $2,200
e) all of the above are required
Under 2020 tax law, a child no longer qualifies a taxpayer for the Child Tax Credit in the year the child reaches
1.Age 17
2.Age 18.
3. Age 19
4.Age 19, or age 24 if the child is a full-time student.
A taxpayer has unutilized or excess Creditable Withholding Taxes (CWT) for the taxable year
2019. The taxpayer has collected its CWT certificates or BIR Form 2307 from its income
payors/customers.
a. What are the options of the taxpayer in relation to its unutilized or excess CWT?
b. Assuming during the review of the taxpayer for his Annual Income Tax Return filed for
the year 2019, the taxpayer decided to apply for a refund instead of its initial decision of
carrying the excess forward to the next taxable periods. Is the application valid? Justify
your answer.
Chapter 6 Solutions
Income Tax Fundamentals 2020
Ch. 6 - E Corporation is a subchapter S corporation owned...Ch. 6 - Income and loss from which of the following...Ch. 6 - Which of the following entities is likely to have...Ch. 6 - Which of the following is an acceptable method of...Ch. 6 - Which of the following entities is required to...Ch. 6 - Prob. 6MCQCh. 6 - B Corporation, a calendar year-end, accrual basis...Ch. 6 - Prob. 8MCQCh. 6 - Prob. 9MCQCh. 6 - Prob. 10MCQ
Ch. 6 - Prob. 11MCQCh. 6 - Prob. 12MCQCh. 6 - For 2019, Roberta is a self-employed truck driver...Ch. 6 - Prob. 14MCQCh. 6 - Prob. 15MCQCh. 6 - Which of the following employees would not be...Ch. 6 - Prob. 17MCQCh. 6 - Prob. 18MCQCh. 6 - Prob. 19MCQCh. 6 - Christine and Doug are married. In 2019, Christine...Ch. 6 - Prob. 1PCh. 6 - Prob. 2PCh. 6 - Geraldine is an accrual basis taxpayer who has the...Ch. 6 - Prob. 4PCh. 6 - Prob. 5PCh. 6 - Prob. 7PCh. 6 - Prob. 8PCh. 6 - Refer to the previous problem 8. If Stan's parents...Ch. 6 - Prob. 10PCh. 6 - Prob. 11PCh. 6 - Otto and Monica are married taxpayers who file a...Ch. 6 - Prob. 13PCh. 6 - Prob. 14PCh. 6 - Prob. 15PCh. 6 - Prob. 16PCh. 6 - Sally hires a maid to work in her home for $280...Ch. 6 - Prob. 18PCh. 6 - Rachel is single and has wages of $150,000 and...Ch. 6 - Married taxpayers Otto and Ruth are both...
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