Generally, you can claim the Tuition and Fees Deduction if all
three of the following requirements are met.
1. You pay qualified education expenses of
higher education.
2. You pay the education expenses for an
eligible student.
3. The eligible student is yourself, your
spouse, or your dependent for whom you claim an exemption on your tax
return.
You will not be able to claim the Tuition and Fees Deduction if:
- Your employer pays for or
reimburses your tuition and fees;
- Your tuition and fees are
paid by tax-free benefits such as the GI Bill;
- Your scholarships and grants
(Box 5) exceed your qualified tuition and fees.
Finally, be aware of the income limits for Tuition and
Fees Deduction:
- To claim the full credit,
your MAGI, modified adjusted gross income, must be not more than
$65,000 (not more than $130,000 for married filing jointly).
- You receive a reduced amount
of the credit if your MAGI is over $65,000 but not more than $80,000 (over
$130,000 but not more than $160,000 for married filing jointly).
- You cannot claim the credit
if your MAGI is over $80,000 (over $160,000 for joint filers).
