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My employer gave me $3,594 in education benefits last year, which I applied toward a grad. certificate. I have a 1098-T. Am I eligible for the lifetime learning credit?

I did this quiz on the IRS website (https://www.irs.gov/help/ita/am-i-eligible-to-claim-an-education-credit) and it said I was eligible, even though I answered that I paid for the tuition with tax-free funds. Another part of their website (https://www.irs.gov/publications/p970#en_US_2020_publinkxxxxxxxxxx) said that I was not eligible.
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Hal_Al
Level 15

My employer gave me $3,594 in education benefits last year, which I applied toward a grad. certificate. I have a 1098-T. Am I eligible for the lifetime learning credit?

Q.  Am I eligible for the lifetime learning credit?

A. No, because you paid for it with  tax-free funds.

 

That would be double dipping, getting two tax benefits for the same money.

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2 Replies
Hal_Al
Level 15

My employer gave me $3,594 in education benefits last year, which I applied toward a grad. certificate. I have a 1098-T. Am I eligible for the lifetime learning credit?

Q.  Am I eligible for the lifetime learning credit?

A. No, because you paid for it with  tax-free funds.

 

That would be double dipping, getting two tax benefits for the same money.

My employer gave me $3,594 in education benefits last year, which I applied toward a grad. certificate. I have a 1098-T. Am I eligible for the lifetime learning credit?

Thanks! That's what I figured.

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