In the fall of 2018, James went back to school to earn a master of accountancy degree. He incurred $7,000 of qualified educational expenses and his modified AGI for the year was $40,000. His Lifetime Learning Credit is

Question

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The Lifetime Learning Credit is 20% of the first $10,000 of qualified education expenses. James incurred $7,000 of qualified educational expenses, so his Lifetime Learning Credit is $1,400 (20% x $7,000).

In the Fall of 2018, James Went Back to School