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thad8305
New Member

Refund was short 1,000-education credit.Ordered acct transcript & it has -$1000 for my account balance & code 766-$1000.Does that mean the IRS is allowing me that credit?

I got my refund 2/19 less the $1000 education credit. IRS sent letter 3 weeks later stating they were reviewing my taxes to see if I was in fact eligible for the $1000 education credit and that it would take 30 days.  I never responded.  It's been well over 30 days since receiving letter.  I just ordered my account transcript and it has that -$1000 showing under credit to my account, and further down, has tax code 766 -$1000. Does this mean I DO get the credit?

2 Replies
Critter
Level 15

Refund was short 1,000-education credit.Ordered acct transcript & it has -$1000 for my account balance & code 766-$1000.Does that mean the IRS is allowing me that credit?

Only the IRS can help you with this issue.

Call the IRS:  1-800-829-1040  hours 7 AM - 7 PM local time Monday-Friday

When calling the IRS do NOT choose the first option re: "Refund", or it will send you to an automated phone line.  

So after first choosing your language, then do NOT choose Option 1 (refund info).  Choose option 2 for "personal income tax" instead.

Then press 1 for "form, tax history, or payment".   

Then press 3 "for all other questions."

Then press 2 "for all other questions."  It should then transfer you to an agent.

Or you can contact your local IRS office.  See this IRS website for local IRS offices - http://www.irs.gov/uac/Contact-Your-Local-IRS-Office-1

Hal_Al
Level 15

Refund was short 1,000-education credit.Ordered acct transcript & it has -$1000 for my account balance & code 766-$1000.Does that mean the IRS is allowing me that credit?

It means the IRS is still reviewing your return. They'll let you know when they are done. Chances are you will not be allowed the $1000 education credit*.

Tax Code 766 acknowledges that you submitted your return to the IRS.

*There's a new urban myth among college students that says they can get a $1000 from the government just for filing a tax form. For most of them, they simply aren't eligible. A student, under age 24, is only eligible for the refundable portion of the American Opportunity Credit if he supports himself by working. You cannot be supporting yourself on parental support, 529 plans or student loans & grants. You must have actually paid tuition, not had it paid by scholarships & 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. For more detail see https://www.irs.gov/Individuals/AOTC   

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