Question

Eliza is a kindergarten teacher for Alexander Hamilton Elementary School. Eliza decorates her classroom with new artwork, posters, bulletin boards, etc. In 2018, she spends $470 on materials and supplies for her classroom. The school reimburses her $100 (the annual reimbursement limit). Eliza can deduct _________ for AGI and _________ from AGI.

Answer 1

Eliza can deduct $250 for AGI and $0 from AGI.

Step-by-step explanation:

Due to the Tax Cuts and Jobs Act, a teacher can only deduct classroom expenses up to $250.

The $250 are above the line deductions that lower your adjusted gross income (AGI), while the $0 represents below the line deductions made once your total AGI has been calculated.