Kyle and Liza are married and under 65 years of age. During 2017, they furnish more than half of the support of their 19-year old daughter, May, who lives with them. She graduated from high school in May 2016. May earns $15,000 from a part-time job, most of which she sets aside for future college expenses. Kyle and Liza also provide more than half of the support of Kyle's cousin who lives with them. Liza's father, who died on January 3, 2017, at age 90, has for many years qualified as their dependent. How many personal and dependency exemptions should Kyle and Liza claim?
A)Two
B)Three
C)Four
D)Five
E)None of these

Question

Quizplus · Accepted Answer

Kyle and Liza can claim the following exemptions:
- Two personal exemptions for themselves
- One dependency exemption for their daughter May, since she qualifies as a qualifying child due to her age, residency, and support.
- One dependency exemption for Kyle's cousin, since he qualifies as a qualifying relative due to his residency and support.
- One dependency exemption for Liza's deceased father, since he passed away in 2017 but was alive for part of the year and would have otherwise qualified as a qualifying relative.

Kyle and Liza Are Married and Under 65 Years of Age