You should not claim an educational tex credit or deduction based on amounts that you know, or can determine, are going to be reimbursed by your employer.
The general rule is that no "double benefits" are allowed. You may still be able to claim some portion of the American Opportunity Tax Credit or the Lifetime Learning Credit, based on the fees that you are paying out of your own funds. However, the amount reported in Box 1 of Form 1098-T must be reduced by the amount of any tax-free educational assistance.
Amounts received by an employee under a written educational assistance plan are excluded from taxable income, up to $5,250 per year.
For more information, please see IRS Pub. 970 Tax Benefits for Education.
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