First, check Line 50 and Line 68 of the Form 1040 for the other educational credits. Its possibly you may be receiving either the American Opportunity Credit or the Lifetime Learning Credit instead of the Tuition and Fees deduction (both are generally better credits to take then the deduction and the program automatically assigns the one with the most tax savings). You can only take one educational tax benefit.
Next, check the eligibility rules for the Tuition and Fees Deduction - You may be able to deduct qualified education expenses for higher education paid during the year for yourself, your spouse or your dependent, UNLESS:
- your filing status is married filing separately;
- another person can claim an exemption for you as a dependent on his or her tax return;
- your modified adjusted gross income (MAGI) is more than $80,000 ($160,000 if filing a joint return);
- you were a nonresident alien for any part of the year and did not elect to be treated as a resident alien for tax purposes; or
- an education credit is claimed for expenses of the student for whom the qualified education expenses were paid.
The tuition and fees deduction can reduce the amount of your income subject to tax by up to $4,000.
