American Opportunity Tax Credit

[Anonymous25]

I was enrolled in one class (4 units) at community college from Feb -June 2018. Then enrolled in another school for another course (5 units) from Sept - Dec. 2018. My 1098-T does not have block 8 checked, but I think I was at least half time student to qualify for the American Opportunity Tax Credit. I am working on my first Bachelor’s Degree

[Leonard · Accepted solution]

Schools determine academic periods' and workload status. You should check with your community college to verify if you have met their requirements to be considered at least a half time student.  If you have request a corrected 1098-T. 

To be eligible for AOTC, you must:

• Be pursuing a degree or other recognized education credential
• Be enrolled at least half time for at least one academic period* beginning in the tax year
• Not have finished the first four years of higher education at the beginning of the tax year
• Not have claimed the AOTC or the former Hope credit for more than four tax years
• Not have a felony drug conviction at the end of the tax year

[Anonymous25]

Does this mean that I have to be enrolled at least half time for one quarter? because for one quarter I was taking 4 units and another quarter I was taking 5 units. but overall for for 2018, I was enrolled for 2 quarters for 9 units total.

[Tejas]

I'm also not able to take any AOTC for my daughter who is going full time at UC.   The wizard never asks about the age but it seems like there is also an age restriction which is not conveyed properly by the tool.   I had to dig this out from help:

Why Students Don't Qualify for the American Opportunity Credit

Here are the most common reasons you are not getting the American opportunity credit:

- the student enrollment status was less than half-time
- the student was not enrolled in a degree program
- you're under age 24 and don't support yourself
- you're married filing separate
- your income is more than $90,000 ($180,000 if you file a joint return).

Forty percent of this is a refundable credit, which means that you can receive up to $1,000 even if you owe no taxes. However, none of the credit is refundable if the taxpayer claiming the credit is a child (a) who is under age 18 (or a student who is at least age 18 and under age 24 and whose earned income does not exceed one-half of his or her own support), (b) who has at least one living parent, and (c) who does not file a joint return.

Is this new for TY2018?

[Critter]

This is not new ... these have always been the rules.