Question

Elijah, who is single, is employed as a full-time high school teacher. the school district where he works recently instituted a policy requiring all of its teachers to start working on a master's degree. pursuant to this new rule, elijah spent most of the summer of 2016 taking graduate courses at an out-of-town university. his magi is $64,000 and expenses are as

Answer 1

A. At most, $4,000 of the tuition could be a deduction for AGI. This assumes that the AGI limitations of § 222 are not exceeded ($65,000 for an unmarried return and $130,000 for a joint return). As Elijah spent $6,600 on tuition, the § 222 deduction for AGI is limited to $4,000. b. Presuming $4,000 is claimed under § 222 (see part a. above), the deduction from AGI is as follows: Tuition ($6,600 ⒠$4,000) $2,600 Books and course materials 1,500 Lodging 1,700 Meals ($2,200 × 50% cutback adjustment) 1,100 Laundry and dry cleaning 200 Campus parking 300 Auto mileage (2,200 miles × $.575) 1,265 Total deduction from AGI: $8,665