Question

Clarita is a single taxpayer with two dependent children, ages 10 and 12. Clarita pays $3,000 in qualified child care expenses during the year.

TABLE 6.1

CHILD AND DEPENDENT CARE CREDIT PERCENTAGES

Adjusted Gross Income				Applicable Percentage
Over		But Not Over
$0	–	$15,000		35%
15,000	–	17,000		34%
17,000	–	19,000		33%
19,000	–	21,000		32%
21,000	–	23,000		31%
23,000	–	25,000		30%
25,000	–	27,000		29%
27,000	–	29,000		28%
29,000	–	31,000		27%
31,000	–	33,000		26%
33,000	–	35,000		25%
35,000	–	37,000		24%
37,000	–	39,000		23%
39,000	–	41,000		22%
41,000	–	43,000		21%
43,000	–	No limit		20%

If her adjusted gross income (all from wages) for the year is $19,600 and she takes the standard deduction, calculate Clarita’s earned income credit and child and dependent care credit for 2019.

I thought it would be 19600 = 32%
3000 X .32 = 960

Doesn't accept 960 as the answer. Please help.

Answer 1

Hi

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