Q. I paid roughly $3800k in tuition for 2 part time semesters at a local Junior College.
A. $3800 works out to $980 refundable AOTC. It takes $4000 to get the full $1000. Books and a computer also count.
Q. As for saving the $2500 credit for later, I will never meet the MAGI restrictions and will never be able to claim the credit. Wouldn't it be my/his interest to file his taxes and claim the credit I can on his return?
A. I was thinking HE would be able to claim the AOTC, in the future, not you. But yes, it's a decision he/you will have to make; a sure $980 now vs a possible $2500 in the future. Another factor: the AOTC is not eligible for grad school, just undergrad and vocational school. Also, you can't count tuition paid by GI benefits for the AOTC.
