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You cannot defer the American Opportunities Tax Credit. The American Opportunity Tax Credit is claimed per eligible student, not per taxpayer. This means you can claim the credit, but it is issued based on her schooling.
That is not correct.
The right answer to this question is here:
--David.
You are not obligated to take the American Opportunity Tax Credit.
That credit may only be used four times per student, so if you think it will be worth more in a different tax year, you can choose Lifetime Learner's Credit or take the Tuition and Fees Deduction instead.
When the TurboTax program suggested taking the American Opportunity Tax Credit, you should have been provided a link to take a different credit. If not, type letme into the search box and it should take you there.
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