Question

Alex had a Credit for the Elderly and Disabled on federal Schedule R of $370. He was able to use $278 as it was limited by his tax liability. He may be able to take an Oregon credit of:

a. $111 and he can take the Retirement Income credit.
b. $148 and he can take the Retirement Income credit.
c. $111 provided he does not take the Retirement Income credit.
d. $148 provided he does not take the Retirement Income credit.

Answer 1

The student can take the Oregon credit even if they take the Retirement Income credit.

Step-by-step explanation:

In this case, we need to determine if the student can take the Oregon credit and the Retirement Income credit based on the given information. The student has a Credit for the Elderly and Disabled of $370 but can only use $278 due to the tax liability limitation. The Oregon credit is $111, which is less than the $278 available. Therefore, the student can take the Oregon credit even if they take the Retirement Income credit. Hence, the correct answer is Option A: $111 and he can take the Retirement Income credit.