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Why don't I qualify for the American Opportunity Credit?

 
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2 Replies
RayW7
Expert Alumni

Why don't I qualify for the American Opportunity Credit?

Without more information I am not sure if you qualify but if you follow the instructions below TurboTax will guide you through the interview process.

 

In addition the link below will give you specific information as to the qualifications.

 

If you enter the education expenses into your return TurboTax will make the comparisons and let you know which credit you are qualified to claim.  

 

Start by going to the Education section of your return using these steps:  

  • On the top row of the TurboTax online screen, click on Search (or for CD/downloaded TurboTax locate the search box in the upper right corner)
  • This opens a box where you can type in “education” (be sure to enter exactly as shown here) and click the magnifying glass (or for CD/downloaded TurboTax, click Find)
  • The search results will give you an option to “Jump to education
  • Click on the blue “Jump to education” link

Then, if you are not prompted to enter your 1098-T, go through the entire education expenses section (without entering any information yet) of your return until you reach the screen titled “Your Education Expenses Summary”, then follow these steps:

  • Click Edit next to the student name.
  • On the screen titled “Here’s your Education Summary”, click Edit beside Tuition.
  • Enter the information from your Form 1098-T.

 

-follow this link for qualifications for claiming the American Opportunity Credit-

Who is eligible to take the American Opportunity Tax Credit?

Hal_Al
Level 15

Why don't I qualify for the American Opportunity Credit?

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 full time unmarried student, under age 24, even if you don't qualify as a dependent, 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 usually 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.

 

 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

https://www.irs.gov/newsroom/american-opportunity-tax-credit-questions-and-answers

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