Since I had no income, I do not qualify for the Lifetime Learning Credit. TurboTax is forcing an upgrade to Deluxe because it says I have the credit. Why is this?

[JillS56]

Did you go back and remove the entry of information for the lifetime learning credit?   If it is not deleted, then TurboTax thinks you have the credit until you delete the entry screen.    

You can remove the Lifetime Learning Credit by deleting Form 8863 - Education Credits.  To do this please follow these steps:

TurboTax Online

1. While in your return, click on Tax Tools > Tools (in the black bar at the side of your screen).  
2. In the Tools Center, under Other helpful links click on Delete a form.
3. Click Delete next to the form you want to delete and follow the onscreen instructions. 
4. Once you have finished deleting the desired form(s) click the Continue with My Return box (in the lower right of your screen).

TurboTax CD/Download

1. Go into Forms Mode by clicking on the Forms icon in the top right of the blue bar. 
2. In the Forms in My Return list on the left, click on the form you wish to open and delete.
3. Click on the Delete Form box at the bottom of the screen.
4. To return to the interview, click on the Step-By-Step icon in the top right of the blue bar.  

How to Remove the Lifetime Learning Credit

[roshnipate2197]

I am having the same issue, but when I got to tools and follow the steps, I see all the forms listed but there is no form 8863 under all the forms on my account, so there is no option to delete it. 

[ThomasM125]

You can try deleting the form 1098-T entry you made. You can do this if your scholarship income (box 5) is not more than your education expenses (box 1). That would mean that you don't have any taxable income based on your form 1098-T entry. You will find the entry in the Federal section of TurboTax, then Deductions and Credits, then Education, then Expenses and Scholarships (Form 1098-T.)

@roshnipate2197

[poetboy7]

Hi there,

I did both things suggested above to fix this problem yet I'm still being told to upgrade even though I do not qualify for the Lifetime Learning Credit. Is this some sort of glitch on the online program? I did not have this problem last year and my filing was practically the same last year.

[JillS56]

Are you using TurboTax online or desktop version?   If you are in the desktop version switch to Forms mode and look for the 8863 and delete it and/or the 1098-T.    

Other than the steps that have already been provided, without seeing your return, there is not much else I can provide you.   You can either call TurboTax Live and share your screen with them and they may be able to help you out or you can provide a token number and someone could take a look at it and help you out.   To give us a token number (all private information is scrubbed from what we see).    

Go to Tax Tools > click on Tools > click on Share My Return with an Agent > you will be given a six-digit number > put that number in a response and submit a question.   Someone will pick up the question and be able to use the token to look at your return and then tell you what you would need to do to remove the  1098-T and related documents.