Is undergraduate tuition at a foreign (UK) university eligible for a tax credit in NY state? The university does not have an EIN number. There is no 1098T.

[MiriamF · Accepted solution]

Tuition at a foreign university is deductible if the school is an eligible school.  Please check this link before proceeding.

If your school is eligible, you don't need a 1098-T or an EIN. When you enter the information in TurboTax, tell the program that you didn't get a 1098-T. It will ask if it qualifies for an exception; the answer is I qualify for an exception. On the page headed Where Did [you] Go to School in 2016?, check the box for foreign address, so you won't need a zip code, either. (See the screenshot below.)

You can then enter all your applicable expenses. Be sure to convert to U.S. dollars.

[hkbselfemploy]

For 2017, even if you indicate that it's a foreign address, it still won't allow for the credit.  Typing in 99-9999999 for the EIN will fix this - as long as you have it checked as a foreign school.

[davet]

FYI TT no longer allows 99-9999999 for an EIN, it will force an error.

[shansen251]

I am having the same issue with my daughters study abroad program which is on the list of eligible schools. Does anyone know how we enter are supposed to enter it without an EIN for 2017 to get the credit to calculate?

[mjpavlik22]

Same question! Help!

[hkbselfemploy]

I tried the 99-999999 and it worked in 2017, and I checked that it was a foreign school

[davet]

An update in case it helps others: I contacted the international school and while they did not have an EIN, they provided a letter confirming the tuition + fees paid in 2017. I read elsewhere others are printing a hard copy of the student's tax return and are mailing to the IRS with this letter attached in lieu of a valid EIN. I am using EIN 99... for the purposes of calculating the AOC credit in Turbotax, however TT still reported this EIN as invalid during the "Review" step. But TT allows you to print the tax return.

[soccermidfielder]

This issue seems a bit crazy.  The University of Edinburgh does have an EIN so I can enter that, but the TurboTax form then asks me to certify that the University qualifies for an 'exception' to issueing the 1098T.  Does it?  Do all foreign institutions have an "exception"?  I just want to be sure this is truthful.  I can find nothing about this in form 970 or on the IRS website.

[davet]

@soccermidfielder  This page might help: <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/3449743-if-a-1098t-form-is-not-required-to-be-reported-can-you-sti...>

In my case I answered "yes" since a) my child's uni did not have an EIN and b) they are not required to issue a 1098-T (they are an eligible school)

[mm9704]

Hi @davet,
I'm currently in the same situation regarding claiming AOC without an EIN at a UK university. Did the method of providing the tuition and fees letter work for you?

[davet0]

@mm9704 I had no issues for 2017, however there's a big YMMV. For 2018 it appeared my Uni obtained a EIN which I found via the IRS "Tax Exempt Organization Search" tool (google for the link) - suggest looking there if you have not already. I used the EIN in TT for 2018 so I did not need to obtain the letter.

[maglib]

https://fafsa.ed.gov/FAFSA/app/schoolSearch  use this link to find a list of eligible schools and their FAFSA Federal EIN's.  For the state pull down, there is the option foreign country....  Not all foreign schools will be listed, only a few will be missing who may also qualify. If they are not on the list, you need to then contact them.

NY requires the college to have a Federal EIN number. Often the programs are paid and billed by your local schools via special programs that may qualify if you use your US school.

. Yes. You can still claim the  education credits if you did not receive a Form 1098-T because the school is not required to provide you a Form 1098-T if:

• The student and/or the person able to claim the student as a dependent meets all other eligibility requirements to claim the credit, 
• The student can show he or she was enrolled at an eligible educational institution, and 
• You can substantiate the payment of qualified tuition and related expenses.

Be sure to keep records that show the student was enrolled and the amount of paid qualified tuition and related expenses. You may need to send copies if the IRS contacts you regarding your claim of the credit.

[davet]

The FAFSA Federal School Code is used for federal loan purposes only and is not a substitute for the IRS Employee Identification Number (EIN), which is a 9 digit number similar to a social security number. Unfortunately the FAFSA search tool does not provide the IRS EIN.

[maglib]

@davet  the original question was about NY education credit and yes the FAFSA has the link to all Federal EIN's with only a few foreign exceptions. If you look in the NY instructions it even refers you to FAFSA to get the Federal EIN.  NY does require the school to have a Federal EIN.   You should read up what an exception is and what rules to qualify are and what the exception is really about.
<a rel="nofollow" target="_blank" href="https://www.irs.gov/pub/irs-pdf/p970.pdf">https://www.irs.gov/pub/irs-pdf/p970.pdf</a>   AOTC & Lifetime learning , QTP, NY Education credit , Student Loan Interest Deduction, Coverdell, Tuition & Fees deduction requires the school to be  eligible to participate in a student aid program administered by the U.S. Department of Education. Virtually all accredited postsecondary institutions meet this definition. An eligible educational institution also includes certain educational institutions located outside the United States that are eligible to participate in a student aid program administered by the U.S. Department of Education.

Tuition & Fees deduction:  Here are the rules for otherwise qualify for scholarships and tuitions & fees, scroll to instructions.  <a rel="nofollow" target="_blank" href="https://www.irs.gov/pub/irs-pdf/f8917.pdf">https://www.irs.gov/pub/irs-pdf/f8917.pdf</a> However, for tax year 2017, a taxpayer may claim one of these
education benefits if the student does not receive a Form 1098-T
because the student’s educational institution is not required to
send a Form 1098-T to the student under existing rules (for
example, if the student is a nonresident alien, has qualified
education expenses paid entirely with scholarships, or has
qualified education expenses paid under a formal billing
arrangement). If a student’s educational institution is not required
to provide a Form 1098-T to the student, a taxpayer may claim
one of these education benefits without a Form 1098-T if the
taxpayer otherwise qualifies, can demonstrate that the taxpayer
(or a dependent) was enrolled at an eligible educational
institution, and can substantiate the payment of qualified tuition
and related expenses.