Golfer, your AGI is determined BEFORE you subtract any deductions or personal exemptions. Your AGI is simply defined as all of your income, whether it be wages, interest, dividends, social security, etc. (Although SOME, NONE, or up to 85% of your social security may be included in AGI, depending on your filing status and wages. Yeah, I know. That is probably as clear as mud.
I edited this to also explain that your lifetime learning credit is a non-refundable credit that is calculated AFTER your AGI is totaled up. And that lifetime learning credit is only worth .20 on every $1.00 up to $10K. This credit is only used to mitigate any taxes you owe on your TAXABLE income. Poodlebrain can probably explain it better than I can. He's a CPA, I believe. I'm not a CPA.
This post was edited on 12/12 at 9:49 pm