Limitations based on modified adjusted gross income
10 rules1 of 2 subsections
(1) In general
(1)In general∀ 8#
The American Opportunity Tax Credit and the Lifetime Learning Credit shall each (determined without regard to this paragraph) be reduced (but not below zero) by the amount which bears the same ratio to each such credit (as so determined) as—
(A) the excess of— (i) the taxpayer’s modified adjusted gross income for such taxable year, over (ii) $80,000 ($160,000 in the case of a joint return), bears to
(B) $10,000 ($20,000 in the case of a joint return).
(2)Modified adjusted gross income#
For purposes of this subsection, the term “modified adjusted gross income” means the adjusted gross income of the taxpayer for the taxable year increased by any amount excluded from gross income under section 911, 931, or 933.