The Test for a Qualifying Child Includes a Gross Income

question 66

True/False

The test for a qualifying child includes a gross income restriction while the test for qualifying relative does not.

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Definitions:

After Tax Cash Flow

The amount of cash that a business or individual has available after all tax obligations have been paid, indicating the net cash generated or used over a period.

Depreciated

The decrease in the value of an asset over time, often due to wear and tear or obsolescence.

Tax Rate

The percentage at which an individual or corporation is taxed, varying by income level, jurisdiction, and type of tax.

Net Present Value

A financial metric that calculates the worth of a projected stream of cash flows by discounting them back to their value in today's dollars.