In 2020, a couple cashes in $10,000 of Series EE savings bonds to help pay the...
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In 2020, a couple cashes in $10,000 of Series EE savings bonds to help pay the cost of their son's college education. Of this amount, $6,200 represents principal and $3,800 represents interest. They use $8,800 of the proceeds to pay for tuition. The couple's modified adjusted gross income is $129,850. Calculate the amount of the $3,800 of interest included in the couple's gross income for 2020. In 2020, a couple cashes in $10,000 of Series EE savings bonds to help pay the cost of their son's college education. Of this amount, $6,200 represents principal and $3,800 represents interest. They use $8,800 of the proceeds to pay for tuition. The couple's modified adjusted gross income is $129,850. Calculate the amount of the $3,800 of interest included in the couple's gross income for 2020.
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Answer rating: 100% (QA)
The amount of interest included in the couples gross income for 2020 depends on whether they qualify for the education tax exclusion for savings bond ... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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