| Type |
Income Limit |
Phase Out
Start |
| Single Filers |
$95,000 |
$75,000 |
| Married Filers |
$170,000 |
$150,000 |
This means that for singles making over $75,000 and couples making over $150,000, the credit is
proportionately reduced as incomes approach $95,000 and $170,000 respectively.
So if a couple makes $165,000, the excess amount is used to create a fraction
15,000/20,000 (.75) times the credit amount. 75% or $6,000 of the credit would be
disallowed. They would still get a $2,000 credit.
|
