If I completed my undergraduate program in three years, then began a post-baccalaureate program immediately after graduating, would I be able to claim the American Opportunity credit? The post-baccalaureate program is still considered to be undergrad, but I had earned a Bachelor's degree in the end of my third year.
Ok ... listen carefully ... school years and tax years are not the same thing ... and the AOC is allowed for ALL costs paid in the tax year IF you had not completed the the undergrad degree as of 1/1 of that tax year.... this is one of those weird rules. So if in 2018 you completed the undergrad degree sometime in 2018 then you can take the AOC credit for all tuition paid in 2018. You will not get the same option in 2019 ... going forward your only choice will be the Lifetime Learning Credit.
So, if I finished my undergrad degree in 2017 (my third year), then pursued my post-bac for the 2017-2018 year (my 4th year of post-secondary), I would NOT qualify for the AOC for 2018. This is because I had technically earned my degree in 2017, even though I was still in undergrad in 2018 and even though I was only in my 4th year. Am I understanding this correctly?