Kobe is a single dad with two dependent children,Lizzie,age 7 and Leslie,age 3.He has AGI of $51,000 and paid $3,700 to a qualified day care center.What amount of credit can Kobe receive for the child and dependent care credit?

A) $0.
B) $740.
C) $3,700.
D) $10,200.

Question

Rose-Alice Duverna · Accepted Answer

Final Answer : B, Explanation :  Kobe can receive a credit for the child and dependent care credit based on his expenses for the qualified day care center. The maximum expense allowed for two or more qualifying persons is $6,000. Since his AGI is $51,000, he falls into the category where the applicable percentage is 20%. Therefore, the credit is calculated as 20% of $3,700 (his actual expenses), which equals $740.

Kobe is a single dad with two dependent children,Lizzie,age 7 and Leslie,age 3.He has AGI of $51,000 and paid $3,700 to a qualified day care center.What amount of credit can Kobe receive for the child and dependent care credit?

A) $0.
B) $740.
C) $3,700.
D) $10,200.

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Learning Objectives

Related questions

Kobe is a single dad with two dependent children,Lizzie,age 7 and Leslie,age 3.He has AGI of $51,000 and paid $3,700 to a qualified day care center.What amount of credit can Kobe receive for the child and dependent care credit?A) $0.B) $740.C) $3,700.D) $10,200.

Definitions

Learning Objectives

Learning Objectives

Related questions

Kobe is a single dad with two dependent children,Lizzie,age 7 and Leslie,age 3.He has AGI of $51,000 and paid $3,700 to a qualified day care center.What amount of credit can Kobe receive for the child and dependent care credit?

A) $0.
B) $740.
C) $3,700.
D) $10,200.