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Filing taxes in my 3rd year of college

Hi 

I have a couple of concerns I am a college student who is currently in her 3rd year and will graduate next year

I was under the impression that my has not been claiming me but I have been receiving financial aid which is for school. I feel like she is not being truthful and I just want to be able to file my taxes without getting in trouble! My mom has stated that she has not filed for me within the 3  years and I just want to know how is possible for I got financial aid. She explained that I am on her budget and without her, I won't be able to receive financial aid I can't file my taxes because she is not truthful! I tried to file my taxes for the year 2023 and there is a question stating "How many times has the American opportunity credit been claimed for you?" I don't even know what to put because she is not truthful and I want to receive the credit but if she already filled it for me it messes it up. Anybody that will able to explain this!

 

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1 Reply
Hal_Al
Level 15

Filing taxes in my 3rd year of college

You are, most likely,  not eligible for a tuition credit.

 

 A full time unmarried student, under age 24, even if you don't qualify as a dependent, is only eligible for the refundable portion of the American Opportunity Credit (AOTC) if he supports himself by working. You cannot be supporting yourself on parental support, 529 plans or student loans & grants. It is usually best if the parent claims that credit. 

You cannot claim a credit if you are, or can be, claimed as a dependent by someone else.

Reference: Line 7 instructions for form 8863. https://www.irs.gov/instructions/i8863

 

If the student actually has a tax liability, there is a provision to allow him to claim a non-refundable tuition credit. But then the parent must forgo claiming the student as a dependent, and the $500 other dependent credit.  The student must still indicate that he can be claimed as a dependent, on his return. This is worth up to $2500 (AOTC shifts to all non refundable)

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