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New Member
posted May 31, 2019 4:59:59 PM

In the past, I have answered yes to having a drug conviction. Now my record is sealed, can I answer no to being a felon?

I feel like I should be able to answer no now.  Since I previously answered yes I don't want my taxes to be in limbo for months.

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8 Replies
Level 15
May 31, 2019 5:00:01 PM

First of all, answering "yes" should not hold up your tax return, that information is only used to determine eligibility for the American Opportunity tuition credit.  If you check yes, then turbotax will not request that credit.  (There are other college credits that don't have the drug conviction rule so you will still be eligible for them.)  The fact that you checked "yes" does not actually get reported to the IRS, so any delays in past refund processing was due to something else.

Second, there is a difference between "sealed" and "expunged," although some states may use different terminology.  Sealed generally means hidden from public view.  Expunged means it is treated as though it never happened.

While I can not find an authoritative answer, the gestalt of all the different things I research is that if your record was sealed, then you were still convicted and you should answer yes, and then you are not eligible for the credit.  But if the conviction was expunged, then you can answer no.  You may have to check with your state law or your attorney to confirm whether you got one or the other.

New Member
May 31, 2019 5:00:03 PM

This helps a lot.  I actually meant expunged.

New Member
May 31, 2019 5:00:06 PM

If you referring to the questions in TurboTax regarding education credits, then the question pertains to eligibility for the American Opportunity Credit and Lifetime Learning Credit.

If you were convicted of a drug related felony on or before December 31, 2015, then you should answer yes.

If you were convicted of a drug related felony, you would not be eligible for the American Opportunity Credit but you would be eligible for the Lifetime Learning Credit as long as you meet the other qualifications.

You can find out more about each education credit at the link below: https://apps.irs.gov/app/vita/content/globalmedia/education_credits_4012.pdf

If that does not answer your questions, please let me know.

New Member
May 31, 2019 5:00:08 PM

I guess I should have been a little more clear.  I have actually  expunged my felony.

New Member
May 31, 2019 5:00:10 PM

In that case, I would consult with an attorney or state law regarding whether or not that should be disclosed.

New Member
May 31, 2019 5:00:10 PM

Thank you!

New Member
Jan 28, 2020 3:53:20 PM

I think their rule sucks. It is not fair to continue to punish someone for past mistakes. They have already done the time for their crime.

Level 2
Feb 9, 2021 7:53:50 PM

The student hasn't been convicted of any federal or state felony for possessing or distributing a controlled substance as of the end of 2020. 

via their publication extended info 

Not have a felony drug conviction at the end of the tax year..... on the IRS site.

Now both of these are not clear and leave too much room when each exclusion is about the specific tax year.... why would they have a exclusion that bars your forever, and not simply just put NO FELONY CONVICTION FOR DRUG POS........  outright it really seems to be saying past felonies do not apply to the year.... 
it is bogus yes but I am not challenging what is fair, I am challenging the actual rule that they created and it is flimsy at best the interpretation only withstands if someone assumes.