Taxpayers with Income Below Phase-Out Amounts Are Allowed a Child

question 86

True/False

Taxpayers with income below phase-out amounts are allowed a child credit of $1,000 for each qualifying child under age 19 or under age 24 if a full-time student.

---

Definitions:

Accretion Expense

Accretion expense relates to the gradual increase in the liability amount in an accretion bond or the process of asset value increase over time.

Operating Item

Expenses or revenues that arise from the primary operations of a company.

Asset Retirement Obligation

A legal obligation associated with the retirement of a tangible long-lived asset, where the liability is recognized in the period in which it incurs.

Indefinite-Lived Intangible

Non-physical assets without a fixed life and which do not amortize, such as trademarks or brand names, that have potential value as long as they are used by the company.