Exemption Phase-out

Exemption Phase-out means:
the phasing out of the amount that can be claimed as a deduction for personal exemptions. This phase-out occurs as Adjusted Gross Income (AGI) rises above a certain level, determined by filing status as follows (for 1994):

Married couple filing jointly $ 167,700.

Qualifying widow(er) 167,700.

Head of household 139,750.

Single person 111 ,800.

Married couple filing separately 83,850.

Personal exemptions are reduced by 2% for each $2,500 ($1,250 if married filing separately), or part of that amount, by which AGI exceeds the amounts listed above.

See Tax exemption and Tax exemption.