Advanced Scenario $6$: David Stone

Interview Notes

David Stone is $28$ years old and single. He provides all of his own support.

$$ David works at a gas station and earned $$18,500$ in wages.

$$ David took two management courses at a community college to improve his job skills. He was less than a half time student. He wants to know if that qualifies for any educational tax benefit.

$$ David took an early distribution from his IRA of $$2,000$ for tuition and $$500$ for emergency repairs of his air conditioning system. This is the first time he has taken a distribution from his IRA.

$$ David is a U$.$S$.$ citizen and lived in the U$.$S$.$ for the entire year. He has a valid Social Security number.

Advanced Scenario $6$: Test Questions

David's modified adjusted gross income $($MAGI$)$ must be less than $$90,000$ to claim the Lifetime Learning Credit in $2024.$

David will owe an additional $$50$ tax on the $$500$ IRA distribution for emergency repairs?

a$.$ True

b$.$ False