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Education
They can still use the "loop hole" on their joint return, by increasing the taxable amount of scholarship. Unlike a student-dependent, they would pay more in tax, but the American Opportunity credit is so generous (100% of the first $2000 and 25% of the next $2000) that it would more than make up for the additional tax.
ā€ˇFebruary 29, 2020
7:16 PM