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grunte6
New Member

Why am I not allow to claim school expenses as reported on a 1098T... is there a income limit?

 
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Accepted Solutions
Hal_Al
Level 15

Why am I not allow to claim school expenses as reported on a 1098T... is there a income limit?

Yes there is an income limit. $90,000 for the AOTC and $65,000 for the LLC.

If you are eligible, you have answered  something wrong, in the interview. But, a lot of people are just not eligible. See https://www.irs.gov/Individuals/AOTC  or https://www.irs.gov/individuals/llc

It may only be you are looking in the wrong place. The non-refundable portion shows on line 33 of form 1040A (line 50 of form 1040) and will be blank if you had no tax liability to off set. The refundable portion (up to $1000 will be on line 44 of 1040A (line 68 of 1040).

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.

Go thru the interview again. In particular, Edit your personal information at the beginning of the software. When Turbotax (TT) sees from your birth date that you are under 24, it specifically asks if you provided more than half your support with earned income.

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1 Reply
Hal_Al
Level 15

Why am I not allow to claim school expenses as reported on a 1098T... is there a income limit?

Yes there is an income limit. $90,000 for the AOTC and $65,000 for the LLC.

If you are eligible, you have answered  something wrong, in the interview. But, a lot of people are just not eligible. See https://www.irs.gov/Individuals/AOTC  or https://www.irs.gov/individuals/llc

It may only be you are looking in the wrong place. The non-refundable portion shows on line 33 of form 1040A (line 50 of form 1040) and will be blank if you had no tax liability to off set. The refundable portion (up to $1000 will be on line 44 of 1040A (line 68 of 1040).

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.

Go thru the interview again. In particular, Edit your personal information at the beginning of the software. When Turbotax (TT) sees from your birth date that you are under 24, it specifically asks if you provided more than half your support with earned income.

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