Tiffany and Carlos are married and have two children, Mikey is 13 years old and Susie is 25. Both children are unmarried and live at home with their parents. Tiffany and Carlos provide over half of the support costs of both children. During the year, Mikey earned $3,000 at a local fast-food restaurant. Susie earned $3,700 as a part-time bookkeeper. Which of the following is TRUE? (Assume a $4,300 limit for the gross income test). Susie will qualify her parents for the $500 family credit.. Mikey will qualify his parents for a $3,600 credit because he is under 15 years old. Susie will qualify her parents for the full $3,000 credit. Susie will not qualify her parents for any credit.
Tiffany and Carlos are married and have two children, Mikey is 13 years old and Susie is 25. Both children are unmarried and live at home with their parents. Tiffany and Carlos provide over half of the support costs of both children. During the year, Mikey earned $3,000 at a local fast-food restaurant. Susie earned $3,700 as a part-time bookkeeper. Which of the following is TRUE? (Assume a $4,300 limit for the gross income test).
[Chapter 3: Topic #3]
Jessica is a professional consultant. She agrees to consulting services for Joe for $2,000. After she finishes, Joe does not have cash to pay Jessica, but he has an antique, collectible baseball card with a fair market value of $2,000 that he gives her to satisfy the payment. The baseball card cost Joe $500. How much should Jessica include in her gross income?
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