AOC -

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Where does TT ask all relevant questions - as defined in Pub 970 - to determine eligibility for Non-refundable part of American Opportunity Credit?

MayaD

Alumni - Intuit

Your American Opportunity credit is 40% refundable. That means a portion of the credit will be refunded to you even if you don't owe any federal income tax.

The remaining $1,500 ($2,500 x 60%) is a nonrefundable credit that provides a benefit to you only if you owe federal income taxes.

The non-refundable part will show on schedule 3 Additional Credits and Payments line 8 and is included in the amount reported on form 1040 line 20.

To get to the education section to see if you qualify for the credit:

Go to Federal Taxes,
Go to Deductions and Credits.
Scroll down to Education and click show more.
Scroll down to Expenses and Scholarships (Form 1098-T) and click Revisit.

Please check the link below for AOC eligibility

Who is eligible to take the American Opportunity Tax Credit?

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scapoor2Author

Level 2

Thanks.

1) I do not see any "revisit" button to click!!!

2) Where does TT ask all relevant questions to determine eligibility for Non-refundable part of American Opportunity Credit?

JulieS

Alumni - Intuit

Depending on the version you are using and whether you already visited the section, the button may say Start, Update, Edit or Revisit. See the image below.

As far as those questions, the 1098-T input screen, boxes 8 and 9 are the start of it. More eligibility questions come up right after you pass the input screen.

If you need to edit this section, just Edit the Education information section.

The amount of the non-refundable American Opportunity Credit is limited to your tax liability (line 16 of Form 1040) on you return. TurboTax figures this based on the information you have entered in your tax return.