My 21 year-old daughter is a full-time college student and pays her own expenses from scholarship proceeds so I do not claim her as a dependent. She has no earned income. Her scholarship total in 2022 was $32,000. Her tuition totaled $12,000. She spent $12,000 on room and board. So she has to pay tax on her scholarship proceeds of $20,000, that did not go toward tuition. I don't want her to miss out on the American Opportunity Credit. If she increase her taxable income to $24,000 (so she's paying tax on $4,000 that went to tuition), can she claim the AOC?
(She received a 1098-T, hasn't taken the AOC before, is working on a degree and isn't a felon.)
And if it is possible for my daughter to claim the AOC, how to I get Turbo Tax to do this?
