"Analyzing Income Tax Implications" Cycle I and II

This paper willing collapse the simulation about Analyzing Income revenue Implications Cycle I and II. Although near parts of the simulation were very(prenominal) native in essence it unflurried put forwardd many examples that apply the decision-making process. at heart this paper, I will be describing the two round and the moment results. The first cycle of analyzing income appraise computations deals with the Lawrence family, Spencer and Patricia, who file jointly, and essential to live if they check dependance exemptions for their son, Kenneth, and Patricias mother, Gillian, in the current year. afterward analyzing each in all the data provided, I had to train if the dependency footrace for Kenneth and Gillian were met. The dependency exemption consists of five tests, all which must be met. I used the textbook and the randomness tabs provided to help me in my dependency decision-making process. First was the citizenship test. Both Kenneth and Gillian argon U. S. citizens. Next was the alliance test. To replete the relationship test the someone must be colligate according to the criteria listed or the somebody must have been a member of the household for the spotless year. Both passed this test. neither Kenneth nor Gillian will be filing a joint tax revenueation soften so the joint fall out test is not an issue. arrant(a) income was next.

Although Kenneths income is oer the 3,100 limit, Kenneth qualifies because he is a student chthonian the eld of 24 years old, and his parents provide over half of the sister sign in the tax year. Gillian qualifies as substantially because her common income of $12,000, even though it is over the limit, is from Social security measures which is tax exempt. The final test was the fight back test. Kenneths parents spent $5,500 on support which is more than 50% of his expenses of $9,500. Therefore, If you loss to get a adept essay, order it on our website: Ordercustompaper.com

If you want to get a full essay, wisit our page: write my paper