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Marysya12 [62]
3 years ago
8

Judy, looks after Kaelyn's four-year-old twins so Kaelyn can go to work (she drops off and picks up the twins from Judy's home e

very day). Since Judy is a relative, Kaelyn made sure, for tax purposes, to pay her mother the going rate for child care ($6,360 for the year). What is the amount of Kaelyn's child and dependent care credit if her AGI for the year was $36,60
Business
1 answer:
MrRissso [65]3 years ago
4 0

Answer:

$1,440

Explanation:

Judy is not a dependent relative of Kaelyn, therefore the expenditures are qualified up to $6,000 (for two qualifying persons).

Thus the applicable percentage is 24%.

($6,000×24%)

=$1,440 allowable credit

Therefore the amount of Kaelyn's child and dependent care credit if her AGI for the year was $36,600 will be $1,440

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