Question

34. Does the following scenario correctly describe income limitations on credits for tax year 2023? Married Filing Joint taxpayers have two dependents that qualify for the child tax credit. Their MAGI is $56,000, and their tax liability is $956. Their Child Tax credit is refundable up to $1,600 per child.

          34. Does the following scenario correctly describe income limitations on credits for tax year 2023?
Married Filing Joint taxpayers have two dependents that qualify for the child tax credit.
Their MAGI is $56,000, and their tax liability is $956.
Their Child Tax credit is refundable up to $1,600 per child.

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34. Does the following scenario correctly describe income limitations on credits for tax year 2023?
Married Filing Joint taxpayers have two dependents that qualify for the child tax credit.
Their MAGI is 56,000, and their tax liability is956.
Their Child Tax credit is refundable up to 1,600 per child.

Added by Jacob T.

Horngren’s Cost Accounting

Srikant M. Datar, Madhav V. Rajan 16th Edition

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Solved by Expert Madhur L

10/28/2023

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The scenario describes a married couple filing jointly with two qualifying dependents for the child tax credit. Their Modified Adjusted Gross Income (MAGI) is $56,000, and their tax liability is $956. The child tax credit is stated as being refundable up to Show more…

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34. Does the following scenario correctly describe income limitations on credits for tax year 2023? Married Filing Joint taxpayers have two dependents that qualify for the child tax credit. Their MAGI is $56,000, and their tax liability is $956. Their Child Tax credit is refundable up to $1,600 per child. Yes No

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Transcript

00:01 Hello students, here is a question.

00:02 Trey has two dependents, his daughter, age 14 and 18, at the year end.

00:06 The trey files to join a return with a spouse.

00:09 What is the amount of a child tax credit? either the child or a qualifying dependent.

00:14 Will trey be able to claim 2022 for his daughter under each of the following alternative situation? use exhibit 8 .8.

00:22 We require to calculate his agi of 1001, not 1900.

00:29 B.

00:29 B.

00:30 His agi of 421 ,000.

00:32 His agi of 420 ,000 and the daughter age between 10 and 12.

00:37 Exhibit the child tax credit phase.

00:40 Threshold of filing a status.

00:42 Phase out the threshold marrying filing jointly of $400 ,000.

00:46 Married filing separately of 200.

00:48 The head of house, single $200 ,000.

00:52 So, this is our question.

00:54 Let us discuss the answer for this.

00:56 The trey's agi is 101 ,900 below the phase of threshold married jointly.

01:11 So, therefore, he will be able to claim the full tax credit of 2000, which his daughter total 4000.

01:20 He can claim $2000.

01:27 Each of daughters, the total will be $4000.

01:32 Because they he will be having two daughters...

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