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Deductions & credits
@Sgiraldo2025 still may not work - it depends.
Example:
QEE = $10,000
Scholarships = $29,000 ($8,000 are restricted, $21,000 are unrestricted). The Pell grant is part of the $21,000.
you must net the QEE against the Restricted scholarships FIRST.
In that case, The $8,000 of restricted scholarships are netted against the $10,000 of QEE.
What remains is $2000 of QEE and $21,000 of unrestricted scholarships. Since there is only $2,000 of QEE remaining, that is the only expense eligible for AOTC. The fact that there is $4,000 of Pell is immaterial.
The key to your strategy is to determine how much of the scholarships are restricted versus unrestricted. Just having $4,000 of Pell grants is NOT the right criteria.
March 30, 2025
10:25 AM
1,325 Views