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Deductions & credits
Since you have maxed out the American Opportunity Tax Credit, you would be eligible for the Lifetime Learning Credit.
The maximum Lifetime Learning Credit you can claim in a year is 20% of the first $10,000 of qualified education expenses you paid for all eligible students (or up to $2,000). The credit is reduced (phased out) if your 2020 modified adjusted gross income (MAGI) is between $59,000 and $69,000 ($118,000 to $138,000 if married filing jointly). Since this isn't a refundable credit, the credit can't be more than your tax liability.
Also, the amount of the tuition paid is reduced by the amount of your scholarships and grants.
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‎February 23, 2021
6:57 PM
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