topic American opportunity tax credit same amount every year? in Education

American opportunity tax credit same amount every year?

Nhernandez91 — Fri, 07 Feb 2020 23:12:46 GMT

So I know you can use the AOTC up to 4 times but is it always the same eligible amount annually? or is it 2500 of credit spread through out the 4 years?

Re: American opportunity tax credit same amount every year?

Texas Roger — Fri, 07 Feb 2020 23:25:19 GMT

You can get up to $2500 of credit each year for up to $4000 of qualified education expenses paid out of pocket or with loans. If you are claimed as a dependent, the person claiming you would file for the credit.

Re: American opportunity tax credit same amount every year?

Hal_Al — Fri, 07 Feb 2020 23:28:57 GMT

$2500 x 4 years = $10,000.

Re: American opportunity tax credit same amount every year?

SusanY1 — Fri, 07 Feb 2020 23:31:29 GMT

The American Opportunity tax credit is 100% of the first $2,000, plus 25% percent of the next $2,000 up to $2,500 for each of the four years.

If you qualify for the full credit for four years, you will receive $10,000 in total credits.