Question

Hestia (age 17) is claimed as a dependent by her parents, Rhea and Chronus. In 2021, Hestia received $1,150 of interest income from a corporate bond that she owns. In addition, she has earned income of $350. What is her taxable income for 2021

Answer 1

The amount that is got as an interest income from a corporate bond will be taxable under the income tax. So $1150 will be taxable in the given case.

What is the income tax?

The income tax is defined as a direct tax which is collected from the assesses directly on the total income he earned. It is clearly defined under the act that the Federal and state taxes are paid on the interest earned on a corporate bond.

In this case, Hestia's parents claim her as a dependent, since she is 17 years old. Hestia received $1,150 in interest from a corporate bond she owns in 2021. Then as per the income tax act, $1,150 would be taxable.

Learn more about the income tax, refer to;

brainly.com/question/17075354

#SPJ1