The Hutters filed a joint return for 2018. They provide more than 50% of the support of Carla, Ellie, and Aaron. Carla (age 18) is a cousin and earns $2,800 from a part-time job. Ellie (age 25) is their daughter and is a full-time law student. She received a $7,500 scholarship for tuition from her law school. Aaron is a brother who is a citizen of Israel but resides in France. Carla and Ellie live with the Hutters. How many dependents can the Hutters claim?
A) None
B) One
C) Two
D) Three

Question

Quizplus · Accepted Answer

The Hutters can claim two dependents: Ellie and Carla. Ellie is a qualifying child for the purposes of the dependency exemption, as she is under 19 and a full-time student. Carla is a qualifying relative, as the Hutters provide more than 50% of her support and her gross income is less than the exemption amount. Aaron cannot be claimed as a dependent because he is not a U.S. citizen or resident alien.

The Hutters Filed a Joint Return for 2018