Answer:
The correct option is B
Explanation:
As per Child and Dependent care credit, the credit is taken for dependent or children only till the age of 13. In the present situation, all three children are less than 13 years of age. Therefore, all are eligible under the scheme.
And as per rules, the amount which can be claimed for 1 dependent is $3,500 and for two or more dependent, the amount is maximum to $7,000. So, the amount spent on the 2 youngest children is $3,500 whereas amount spent on the oldest children is $1,000. Therefore, the aggregate amount is $4,500 ($3,500 + $1,000), which can be used for determining the dependent and child care credit.
In the present case, Camilo and Isa having total income of $36,000 ($12,000 + $24,000), which is more than $4,500. So, the whole amount will be used for determining the Child and Dependent care credit.
Therefore, B option is Correct.
