There are 3 education credits or deductions available*. You are only allowed to claim one. The most generous credit, the American Opportunity Credit (AOC) is only available for undergrad education. So, you have to decide whether to claim only your undergrad expenses for the AOC or claim both your grad & undergrad expenses for the less generous Lifetime Learning Credit (LLC). Students and/or their parents are only allowed to claim the AOC a total of 4 times. Since a bachelor's degree usually takes 5 calendar/tax years, most recent grads have already used up their 4 times, so there is no decision to make. The AOC is no longer an option. If that is your case, check box 8 at the 1098-T screen to simplify the process.
The third one is the Tuition and Fees Deduction (TFD) and is the least generous (an up to $4000 deduction off income).
