Yahoo Answers is shutting down on May 4th, 2021 (Eastern Time) and beginning April 20th, 2021 (Eastern Time) the Yahoo Answers website will be in read-only mode. There will be no changes to other Yahoo properties or services, or your Yahoo account. You can find more information about the Yahoo Answers shutdown and how to download your data on this help page.
Trending News
Did I miss something or is the book incorrect?
Here's an actual question from a tax prep training book:
John and Mary were married in 2010. Mary had wages of $2500 and lived with her parents all year. John was in the Navy, stationed in Guam, trying to prevent the island from capsizing, and earned $12000. John and Mary file a joint return. Mary's parents have 2 other children 13 and 15 years old who lived with them all year. Mary's parents paid all of the support for Mary and their other children.
The questions are the number of exemptions claimed by John and Mary and the number of exemptions claimed by Mary's parents. In class, we thought it was 1 and 5 (because Mary only filed jointly to claim a refund), but the answer book listed it as 2 and 4. Did we miss something subtle that we may have overlooked or is the book incorrect?
Cool, I just found where that is listed in the book - not very prominently. :-)
1 Answer
- Bostonian In MOLv 71 decade agoFavorite Answer
You missed the 2nd part of the requirement for married dependents. Not only do they have to have received a full refund of all taxes paid on a joint return, but must also have no combined tax liability had they filed MFS returns. At $12,500, John would have had some tax liability had he and Mary filed MFS, so Mary cannot be claimed as a dependent by her parents.
The book is correct.
