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based on the 2020 tax brackets

Bianca is a cash basis taxpayer with a calendar year-end. She receives a bill for accounting services for her business totaling $35,000. The accounting fees are tax deductible. The invoice was received on December 20, 2020, and is due by January 20, 2021. For 2020, Bianca has a marginal tax rate of 22%. In 2021, she anticipates having a marginal tax rate of 35%. Bianca's historic investment rate is 10%. What is Bianca's after-tax cost of the accounting services, if she pays the accounting invoice in December 2020? a. Camille and George are married and have a daughter, Claire. Camille and George live in Madison, Wisconsin. Claire i5 20 years old and attends the University of Minnesota full-time. Claire works at Grizzly Corporation and earns $20.000 per year and Claire pays 20% of her own support. Claire lives with her aunt (George's sister, Crystal) in the Twin Cities for 8 months of the year, while attending school. Crystal provides 60% support for Claire. George and Camille can claim Claire as a dependent because she is a Qualifying Relative. George and Camille can claim Claire as a dependent, because she is a Qualifying Child Claire is not a dependent of George/Camille or of Crystal d. Crystal can claim Claire as a dependent, since she allows Claire to live with her more than half of the year and provides 60% support

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