Harry and Wilma are married and file a joint income tax return. On their tax return, they report $44,000 of adjusted gross income ($20,000 salary earned by Harry and $24,000 salary earned by Wilma) and claim two exemptions for their dependent children. During the year, they pay the following amounts to care for their 4-year old son and 6- year old daughter while they work.
Harry and Wilma may claim a credit for child and dependent care expenses of:
A) $840.
B) $1,040.
C) $1,200.
D) $1,240.
E) None of the above.
Correct Answer:
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