Question

30.) Determine the amount of the standard deduction allowed for 2018 in the following independent situations. In each case, assume that the taxpayer is claimed as another persons dependent.

a.) Curtis age 18 has income as follows:$700 interest from a certificate of deposit and $12,200 from repairing cars.

b.) Mattie, age 18 has income as follows:$600 cash dividends from a stock investment and $4,700 from handling a paper route.

c.) Jason age 16, has income as follows:$675 interest on a bank savings account and $800 for painting a neighbors fence.

d.) Ayla age 15 has income as follows:$400 cash dividens from a stock investment and $500 from grooming pets.

e.) Sarah age 67 and a widow has income as follows:$500 from a bank savings account and 3,200 from babysitting.

please answer all questions and show how you got the answer

Answer 1

Standard Deduction			Explanation
a.	Curtis, age 18, reports income as follows: $700 interest from a certificate of deposit and $6,100 from repairing cars.	$6,350.00	The standard deduction for Curtis who can be claimed as a dependent by another taxpayer cannot exceed the greater of $1,050 or $350 + 6100, but limited to the $6,350 standard deduction for a single taxpayer.
b.	Mattie, age 18, records income as follows: $600 cash dividends from a stock investment and $4,700 from handling a paper route.	$5,050.00	The standard deduction for Mattie who can be claimed as a dependent by another taxpayer cannot exceed the greater of $1,050 or $350 + 4700 = $5050
c.	Mel, age 16, incurs income as follows: $675 interest on a bank savings account and $800 for painting a neighbor's fence.	$1,150.00	The standard deduction for Mel who can be claimed as a dependent by another taxpayer cannot exceed the greater of $1,050 or $350 + $800 = $1150
d.	Lucy, age 15, reports income as follows: $400 cash dividends from a stock investment and $500 from grooming pets.	$1,050.00	The standard deduction for Lucy who can be claimed as a dependent by another taxpayer cannot exceed the greater of $1,050 or $350 + $500 = $850
e.	Sarah, age 67 and a widow, incurs income as follows: $500 from a bank savings account and $3,200 from babysitting.	$5,100.00	The standard deduction for Sarah who can be claimed as a dependent by another taxpayer cannot exceed the greater of $1,050 or $350 + $3200 = $3550 plus $1550 the additional standard deduction allowed as she is 67 older than 65.
The standard deduction for a taxpayer who can be claimed as a dependent by another taxpayer cannot exceed the greater of (a) $1,050 or (b) $350 + the dependent's earned income