Yes, it can. If that dollar bumped you into the next income range, it could affect the amount of multiple credits and deductions on your tax return. Many deductions and credits are phased in and out based on $25 ranges of your total income. So, it is not only possible, but not that uncommon to see what you are seeing. The $1 of income could have caused your to move to a different income range and also lowered one or more of the credits you are receiving.
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