Hal_Al
Level 15

Education

It's a technicality. In the different year scenario, you paid the tuition out of pocket and didn't get reimbursed by the end of the year. So, for that year you paid tuition with your money, so you get a deduction.  The following year you get reimbursed. The tax rules say reimbursement for something deducted in a previous year must be treated  as income.