IRS Full-time student status

[collegedad80]

The IRS rule for determining full-time student status requires full-time status at the school for at least part of 5 months of the year. My daughter was a full-time student at a local college for the fall semester of 2020. A normal fall semester would start in August and end in December. That would have been 5 months but the semester was compressed to end in November due to Covid concerns. That leaves only 4 calendar months when she was a full-time student. Has the IRS made any determination whether this situation would satisfy their full-time rule since the normal fall semester would have met the requirements.

[CatinaT1]

Did she do her finals in December?  Was the class scheduled to run until December?  Have you received her 1098-T from the college yet?  If so, there is a box the school will check if she was considered at least a half time student.  I suspect that will be checked and then there is no question.

This is definitely a new dilemma that the IRS has not published any guidance on.  I would go with what is marked on the 1098-T.

[collegedad80]

Yes we received the 1098-T and yes she was at least half time. The issue is she works a part-time job and makes a little over the limit for me to claim her on my tax return. If however she is a full-time student I can claim her and  take full advantage the education credits that are available. She does not pay enough in taxes for it to be much of a credit on her return. I'm saying this based on what I remember from last year. My memory may not be totally accurate. Feel free to correct my understanding as needed.

[LinaJ2020]

If the at least half-time box on Form 1098T is checked, and the school recognizes her as a full time student, you can claim her if other requirements for dependency are fulfilled. 

The definition of a full time student is "as defined by the college".  It further states that an "at least half time student" is one that is enrolled in at least half the workload of his or her course of study, based on the institution's definition of what constitutes a full time student.  For affirmation from the IRS, click here: Full time student

@collegedad80

[collegedad80]

Actually I read the IRS rule (the one at the link you provided) before I posted my question in this forum. The IRS clearly says the individual must have been a full-time student for five months or any parts of those months. Due to the compressed semester the school recognizes her as a full-time student for August - November. The semester ended in November instead of the normal December ending. She was not full-time for any other months of 2020. Your previous statement about no clear guidance having been issued by the IRS is helpful. Maybe they will provide such guidance in the coming weeks.

Thank you.