Question
Fred and Wilma Flint have two children, Pebbles and Rock, who are ages 19 and 20, respectively, at the end of 2020. Pebbles and Rock
Fred and Wilma Flint have two children, Pebbles and Rock, who are ages 19 and 20, respectively, at the end of 2020. Pebbles and Rock are qualified dependents of the Flints. AGI for 2020 is $120,000. Pebbles and Rock graduated from high school within the last two years and are both full-time students at Bedrock University.
During 2020, Wilma decided to return to school to earn a nursing degree. She completed an undergraduate degree in biology 16 years ago. Fred paid the following for educational expenses during 2020:
Item | Pebbles | Rock | Wilma |
---|---|---|---|
Tuition | $1,000 | $2,000 | $4,000 |
Fees | $600 | $600 | $300 |
Room and Board | $4,000 | $4,000 | $0 |
Required Course Materials (must be bought from university) | $400 | $400 | $200 |
Compute the Flints' total Education Credits for 2020 by completing the chart below. Assume that the Flints' do NOT take a deduction for higher education expenses and the amounts shown above were NOT paid from an Education IRA. Phase-out of the Hope/American Opportunity education credit is between AGI of $160,000 and $180,000 if married filing joint, while the phase-out for the Lifetime Learning credit is between $118,000 and $138,000.
Note: enter "0" as appropriate
Expenses qualifying for the American Opportunity Credit - Pebbles | $__________ |
Expenses qualifying for the American Opportunity Credit - Rock | $__________ |
Expenses qualifying for the American Opportunity Credit - Wilma | $_________ |
Expenses qualifying for the Lifetime Learning Credit - Pebbles | $_________ |
Expenses qualifying for the Lifetime Learning Credit - Rock | $__________ |
Expenses qualifying for the Lifetime Learning Credit - Wilma | $__________ |
American Opportunity Education Credit BEFORE any applicable phase-out | $__________ |
American Opportunity Education Credit AFTER any applicable phase-out | $__________ |
Lifetime Learning Credit Education Credit BEFORE any applicable phase-out | $__________ |
Lifetime Learning Credit Education Credit AFTER any applicable phase-out | $__________ |
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