Molly is single with AGI of $22,500.During the year,she contributed $900 to an IRA.What amount of retirement savings contributions credit can Molly claim?
A)$0.
B)$90.
C)$180.
D)$900.

Question

Quizplus · Accepted Answer

Molly's AGI is below the phase-out threshold for the retirement savings contributions credit, so she can claim the full amount of the credit, which is $1,000. However, her contribution to her IRA is only $900, so she can only claim a credit for that amount.

Molly Is Single with AGI of $22,500