Thanks you for looking into this.
Yes, I claimed AOTC four times already.
She's a fifth year student studying in another state. The first half of the year, by IRS definition, she's a dependent. The caveat is the second half of year, she got paid 50k for working in coop program. I wasn't sure that would raise a red flag with the IRS if I claim her as a dependent. That's why I'm filing her as a independent.
Minus actual scholarship, we paid 15000. 8000 of that amount is distribution from 529. So I thought on her return she can take the Lifetime Learning credit.
