American Opporunity Credit and Fifth year student

[jacobcat1999]

Hello I am a fifth year and final year student at my university. I started in 2017 and now Im finishing up my last semester because I held back a year. This is a Bachelor program that I am in and will graduate in may. I claimed the American Opportunity Credit/Lifetime Learning Credit in 2019 and 2020. I have not claimed those in 2017 or 2018. Would I put No to the question Had you Earned Four Years of College Credit before 2021? I only claimed the education credits twice out of now four and a half years of university. Please help 🙂 

[Bsch4477]

Correct. Answer no since you haven’t completed your degree. 

[Critter-3]

For the 2021 return ... if you had not completed the 4 year degree before 1/1/21 then you can take the AOC... answer no.

[Hal_Al]

Be aware that a full time, unmarried student, under age 24, even if you don't qualify as a dependent, is only eligible for the refundable portion of the American Opportunity Credit if he supports himself by working. You cannot be supporting yourself on parental support, 529 plans or student loans & grants. You usually must have actually paid tuition, not had it paid by scholarships & grants.  It is usually best if the parent claims that credit. 

You cannot claim a credit if you are, or can be, claimed as a dependent by someone else.

Reference: Line 7 instructions for form 8863. https://www.irs.gov/instructions/i8863

Any times your parents claimed the American Opportunity Credit, based on your education, counts against your 4 time limit.