Question

In: Accounting

In 2019, Elaine paid $2,640 of tuition and $920 for books for her dependent son to...

In 2019, Elaine paid $2,640 of tuition and $920 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband.

What is the maximum American opportunity tax credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? (Leave no answer blank. Enter zero if applicable.)

a. Elaine’s AGI is $83,000.

b. His AGI is $423,600.

c. His AGI is $427,700, and his daughters are ages 10 and 12.

Solutions

Expert Solution

a. Elaine's AGI is $83,000
Elaine may claim an American opportunity credit (AOC) of $2,390
Description Amount Explanation
$
(1) AOC before phase out           2,390 2000*100%+(3560-2000)*25%
(2) AGI        83,000
(3) Phase out threshold     1,60,000
(4) Excess AGI                  -   (2)-(3) {but not <0 and limited to a maximum of $20,000}
(5) Phase out range for taxpayer filing as married filing jointly        20,000 180,000-160,000
(6) Phase out percentage 0% (4)/(5) or 100% max
(7) Phase out amount                  -   (1)*(6)
AOC after phase out           2,390 (1)-(7)
b. His AGI is $423,600
Because his AGI exceeds the threshold amount of , Elaine may not claim an AOC.
Description Amount Explanation
$
(1) AOC before phase out           2,390 2000*100%+(3560-2000)*25%
(2) AGI     4,23,600
(3) Phase out threshold     1,60,000
(4) Excess AGI        20,000 (2)-(3) {but not <0 and limited to a maximum of $20,000}
(5) Phase out range for taxpayer filing as married filing jointly        20,000 180,000-160,000
(6) Phase out percentage 100% (4)/(5) or 100% max
(7) Phase out amount           2,390 (1)*(6)
c. His AGI is $427,700 and his daughters are ages 10 and 12
Because his AGI exceeds the threshold amount of , Elaine may not claim an AOC.
Description Amount Explanation
$
(1) AOC before phase out           2,390 2000*100%+(3560-2000)*25%
(2) AGI     4,27,700
(3) Phase out threshold     1,60,000
(4) Excess AGI        20,000 (2)-(3) {but not <0 and limited to a maximum of $20,000}
(5) Phase out range for taxpayer filing as married filing jointly        20,000 180,000-160,000
(6) Phase out percentage 100% (4)/(5) or 100% max
(7) Phase out amount           2,390 (1)*(6)

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

In 2018, Elaine paid $2,640 of tuition and $920 for books for her dependent son to...
In 2018, Elaine paid $2,640 of tuition and $920 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. What is the maximum American opportunity credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? a. Elaine’s AGI is $83,000. b. Elaine’s AGI is $170,500. c. Elaine's AGI is 205,500
In 2018, Elaine paid $2,640 of tuition and $920 for books for her dependent son to...
In 2018, Elaine paid $2,640 of tuition and $920 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. What is the maximum American opportunity credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? a. Elaine’s AGI is $83,000. b. Elaine’s AGI is $170,500. c. Elaine's AGI is 205,500
In 2019, Elaine paid $2,800 of tuition and $600 for books for her dependent son to...
In 2019, Elaine paid $2,800 of tuition and $600 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. What is the maximum American opportunity tax credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? (Leave no answer blank. Enter zero if applicable.) a. Elaine’s AGI is $80,000. b. Elaine’s AGI is $168,000. c. Elaine’s AGI is...
18-In 2019, Elaine paid $3,200 of tuition and $700 for books for her dependent son to...
18-In 2019, Elaine paid $3,200 of tuition and $700 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. Elaine’s AGI is $168,000.What is the maximum American opportunity credit Elaine can claim for the tuition payment and books? 19-In 2019, Amanda and Jaxon Stuart have a daughter who is one year old. The Stuarts are full-time students and they are both 23 years old. Their AGI...
1.In 2019, Elaine paid $3,000 of tuition and $700 for books for her dependent son to...
1.In 2019, Elaine paid $3,000 of tuition and $700 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. Elaine’s AGI is $168,000.What is the maximum American opportunity credit Elaine can claim for the tuition payment and books? 2.In 2019, Amanda and Jaxon Stuart have a daughter who is one year old. The Stuarts are full-time students and they are both 23 years old. Their AGI...
In 2018, Elaine paid $2,480 of tuition and $1,240 for books for her dependent son to...
In 2018, Elaine paid $2,480 of tuition and $1,240 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. What is the maximum American opportunity credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? a. Elaine’s AGI is $87,000. b. Elaine’s AGI is $179,000 c. Elaine’s AGI is $233,500.
In 2018, Elaine paid $2,760 of tuition and $1,060 for books for her dependent son to...
In 2018, Elaine paid $2,760 of tuition and $1,060 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. What is the maximum American opportunity credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? What is the American Opportunity Credit if: a. Elaine’s AGI is $92,750. b. Elaine’s AGI is $164,500. c. Elaine’s AGI is $211,000.
In 2017, Elaine paid $2,920 of tuition and $840 for books for her dependent son to...
In 2017, Elaine paid $2,920 of tuition and $840 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. What is the maximum American opportunity credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? (Round your intermediate calculations to two decimal places and final answer to the nearest whole dollar amount. Leave no answer blank. Enter zero...
In 2018, Elaine paid $2,840 of tuition and $800 for books for her dependent son to...
In 2018, Elaine paid $2,840 of tuition and $800 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. What is the maximum American opportunity credit that Elaine can claim for the tuition payment and books in each of the following alternative situations? a. Elaine’s AGI is $103,500. b. Elaine’s AGI is $172,000. c. Elaine’s AGI is $200,500.
In 2018, Elaine paid $3,000 of tuition and $600 for books for her dependent son to...
In 2018, Elaine paid $3,000 of tuition and $600 for books for her dependent son to attend State University this past fall as a freshman. Elaine files a joint return with her husband. Elaine’s AGI is $168,000.What is the maximum American opportunity credit Elaine can claim for the tuition payment and books? In 2018, Amanda and Jaxon Stuart have a daughter who is one year old. The Stuarts are full-time students and they are both 23 years old. Their AGI...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT