On December 18, 2020, the Horton's won $300,000 in the lottery and decided to divide it evenly amongst all family members. They are very excited and want to use the money wisely. Each has agreed to open a Tax-Free Savings Accounts (TFSAs) and to maximize their contributions. To date, no family member has made any TFSA contributions except for Stan who contributed $60,000 over the years, he has never made any withdrawals. They have asked you to help them determine the maximum amount permitted under the TFSA rules and each will then contribute from their lottery winnings. (Hint: consider carryforward balances and contributions in 2020). Stan (father) turned 55 on June 20, 2020 Sandra (mother) turns 48 on March 2, 2020 Anna (Stan's mother who lives with them) turns 71 on December 1, 2020 Jonny (son) turned 23 on March 2, 2020 Twins (born minutes apart): Allen (son) turned 18 on December 31, 2019, and Alley (daughter) turned 18 on January 1, 2020 Eve (daughter) turns 17 on September 4, 2020 a) $205,000 b) $265,000 c) $211,000 d) $204,500 e) $261,500

In year 1, the bennetts' 25-year-old daughter, jane, is a full-time student at an out-of-state university but she plans to return home after the school year ends. in previous years, jane has never worked and her parents have always been able to claim her as a dependent. in year 1, a kind neighbor offers to pay for all of jane's educational and living expenses. which of the following statements is most accurate regarding whether jane's parents would be allowed to claim an exemption for jane in year 1 assuming the neighbor pays for all of jane's support? a. no, jane must include her neighbor's gift as income and thus fails the gross income test for a qualifying relative. b.yes, because she is a full-time student and does not provide more than half of her own support, jane is considered her parent's qualifying child. c.no, jane is too old to be considered a qualifying child and fails the support test of a qualifying relative. d.yes, because she is a student, her absence is considered as "temporary." consequently she meets the residence test and is a considered a qualifying child of the bennetts.