GPFP - 6

Question 0

The American opportunity tax credit allows taxpayers to claim a yearly ___ per student.

Answer 0

$2,500 credit (100% of the first $2,000 and 25% of the second $2,000 of qualified expenses)

Question 1

Education – in order to qualify, the student must be in the first four years of college and be enrolled on at least a half-time basis.

Answer 1

American opportunity tax credit (formerly called hope scholarship credit)

Question 2

American opportunity tax credit starts to phase out for taxpayers filing a joint return at ___ and is completely phased out at___. The credit starts facing out for other taxpayers at___and is completely phased out at___.

Answer 2

$160,000
$180,000
$80,000
$90,000

Question 3

Taxpayers can receive to___of the American opportunity tax credit as a refundable credit.

Answer 3

40%

Question 4

The lifetime learning credit is a tax credit equal to___of academic higher education costs, up to___per year for taxpayer. The credit is a maximum of___and is available for an unlimited number of years.

Answer 4

20%
$10,000
$2000

Question 5

Education – The student can be enrolled on less than a half-time basis.

Answer 5

Lifetime learning credit

Question 6

The lifetime learning credit starts to phase out for taxpayers filing a joint return at___and is completely phased out at___. The credit starts phasing out for other taxpayers at___and is completely phased out at___.

Answer 6

$108,000
$128,000
$54,000
$64,000