Fed Income Taxes 6

Calculate the child credit for the following taxpayers. 1. Tom and Suzie have dependent children with the following ages: 20, 12, 10 and AGI of $65,000: 2. Jerry and Ann have two dependent preschool children and $100,000 of AGI:

Diane is a single taxpayer who qualifies for the earned income credit. Diane has two qualifying children who are 3 and 5 years old. During 2014, Diane's wages are $17,500 and she receives dividend income of $700. Calculate Diane's earned income credit using the EIC table in Appendix B. You can also access the EIC table here: http://apps.irs.gov/app/vita/content/globalmedia/earned_income_credit_table_1040i.pdf

Mary and John are married and have AGI of $100,000 and two young children. John doesn't work, and they pay $6,000 a year to day care providers so he can shop, clean, and read a little bit in peace. How much child and dependent care credit can Mary and John claim?

Martha has a 3-year old child and pays $10,000 a year in day care costs. Her salary is $45,000. How much is her child and the dependent care credit?

Janie graduates from high school in 2014 and enrolls in college in the fall. Her parents pay $8,000 for her tuition and fees. Assuming Janie's parents have AGI of $120,000 and file a joint return, what is the American Opportunity credit they can claim for Janie? 2. Assuming Janie's parents have AGI of $120,000 and qualified expenses of $3,000, what is the American Opportunity credit they can claim for Janie on a married filing joint return? Spell check Save

Jasper is single and is a computer software consultant with a college degree. He feels that one of the reasons for his success is that he continually updates his knowledge by taking classes at the local college in various areas related to software design and information technology. This year he spent $2,000 on course tuition and fees. Assuming Jasper has AGi of $92,000, how much lifetime learning credit can Jasper claim on his tax return? Assuming Jasper has AGI of $45,000, how much lifetime learning credit can Jasper claim on his tax return?

Common deduction which are allowed for regular tax purposes but are not deductible for AMT purposes:

Susan is a single taxpayer, 26 years of age, with AGI of $28,000 and no tax-exempt income. She did not have minimum essential coverage for 9 months in 2014. Compute Susan's individual shared responsibility payment for 2014.