Question
Kurt and Michelle are MFJ tax payers with an AGI of $175,000. They have two children, Jack and Ben. Kurt and Michelle pay $6,500 tuition
Kurt and Michelle are MFJ tax payers with an AGI of $175,000. They have two children, Jack and Ben. Kurt and Michelle pay $6,500 tuition for Jack, a senior at State University; and $2,000 in tuition for Ben, a freshman at State University. Additionally, they pay $2,000 for each child in room and board. Jack is attending full time and Ben is taking a his first single class. Jack and Ben are both dependents of Kurt and Michelle. If Kurt and Michelle wish to use the American Opportunity Tax Credit, how much of a credit are they eligible to take on their 2020 tax return?
Group of answer choices
$0
$2,500
$625
$4,500
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