Q. Can my 19 year old kid claim herself to get the education credits?
A. No, No., & No.
No, because she can be claimed as a dependent. You are not allowed to let her claim herself.
No, because she does not have enough income to benefit from the non refundable education credit. There is actually a special provision that allows the parent to forego the dependent (and the $500 other dependent credit), so that the student can claim the non refundable credit. But, it's rare for a student to get any benefit.
No, because a full time unmarried student, under age 24, whether a dependent or not, is only eligible for the refundable portion of the American Opportunity Credit if he supports himself by working. You cannot be supporting yourself on parental support, 529 plans or student loans & grants. You usually must have actually paid tuition, not had it paid by scholarships & grants.
The reason, you're seeing her refund going up $2K is you've entered her information wrong; most likely the earned income support question in the personal info section.
