Can I deduct my book expenses that were out of pocket that I did not buy with grant money?

[texasgirl]

I received financial aid and used the money to purchase books and other school related items. However, during the fall semester, I purchased required books out of pocket and financial aid only paid for my tuition. Can I include the out of pocket expenses for my books?

[HollyP]

Yes, you can deduct the cost of books for college classes under both education credits. However, to take the credit under the Lifetime Learning Credit, the books must have been purchased directly from your educational institution.

Under the American Opportunity Credit, you can deduct the cost of books for college whether or not the materials are purchased from the educational institution. See below for more info. https://ttlc.intuit.com/replies/3300629

[texasgirl]

What about the books bought with the pell grant money? Can those be counted towards expenses, some were bought on school campus and some off campus?

[HollyP]

Yes, and when you enter in your 1098-T you will have follow up questions about buying your books. There will be 2 boxes, one for books required to be purchased and one for books not required to be purchased from the school. TurboTax will walk you through that. Here is some more good info for your records. <a rel="nofollow" target="_blank" href="https://turbotax.intuit.com/tax-tools/tax-tips/College/Deduction-for-Higher-Education/INF12002.html"...>