Question

Self-Study Problem 1.6

Indicate in each of the following situations whether the taxpayer has a dependent in 2018.

Yes or No 1. Betty and Bob, a married couple, had a new baby in December 2018. Yes 2. Charlie, age 25, supports his 26-year-old brother, who is not a full-time student. His brother lives with Charlie all year. His brother’s gross income is $4,500 from a part-time job. 3. Donna and her sister support their mother and provide 60% of her support. If Donna provides 25% of her mother’s support and her sister signs a multiple support agreement, can Donna claim the mother as a dependent? 4. Frank is single and supports his son and his son’s wife, both of whom lived with Frank for the entire year. The son (age 20) and his wife (age 19) file a joint return to get a refund, reporting $2,500 ($2,000 earned by the son) on gross income. Both the son and daughter-in-law are full time students. 5. Gary is single and provides $5,000 toward his 19-year-old daughter’s college expenses. The remainder of her support is provided by a $9,500 tuition scholarship. The daughter is a full-time student. 6. Helen is 50 years old and supports her 72-year-old mother, who is blind and has no income.

Answer 1

S.No	Particulars	Yes/No
2.	Charlie, age 25 supports his 26 year old brother, who is not a full time student. His brother lives with Charlie all year. His brother's gross income is $ 4500 from a part time job.	No. Since the gross income exceeded the limit of $4150
3.	Donna and her sister support their mother and provide 60% of her support. If Donna provides 25% of her mother’s support and her sister signs a multiple support agreement, can Donna claim the mother as a dependent?	Yes.
4.	Frank is single and supports his son and his son’s wife, both of whom lived with Frank for the entire year. The son (age 20) and his wife (age 19) file a joint return to get a refund, reporting $2,500 ($2,000 earned by the son) on gross income. Both the son and daughter-in-law are full time students.	Yes. Frank can claim the son and son's wife as dependents.
5.	Gary is single and provides $5,000 toward his 19-year-old daughter’s college expenses. The remainder of her support is provided by a $9,500 tuition scholarship. The daughter is a full-time student.	Yes. Gary can claim daughter as dependent. since scholarship is not considered support
6.	Helen is 50 years old and supports her 72-year-old mother, who is blind and has no income.	Yes. Helen can claim her old mother as dependent.