It depends. GI Benefits are not taxable. On the other hand, if your education expenses
were paid for from GI benefits, you can't get an additional tax credit for
that.
The IRS
states that your credit will be reduced for any money the GI Bill contributes
toward your tuition and college fees. If you pay $6,000 in tuition one year,
and the government pays for $5,000, your credit would be based on the $1,000
you paid yourself. When you see the screen Did Spouse Receive Any of the Following Tax Free Benefits Last Year? you will indicate how much of box 5 represents GI Benefits used for education.
See this answer from TurboTax ToddL:
https://ttlc.intuit.com/replies/4914656
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
