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New Member
posted Apr 18, 2020 6:14:29 PM

Service Academy American Opportunity Credit

I am very confused. 

 

I am a student at the United States Naval Academy and am trying to figure out if I am eligible to claim book expenses and others for the American Opportunity Tax Credit. The issues arises in whether or not USNA and the other service academies are eligible institutions.

 

According to this Turbo Forum thread, I cannot: https://ttlc.intuit.com/community/college-education/discussion/service-academy-computer-eq-deduction/00/1288293

 

But according to the IRS, I can. Here: https://www.irs.gov/newsroom/american-opportunity-tax-credit-questions-and-answers for question 18, it states that if it is on the list on the website provided, then it is an eligible institution. USNA is on this list, along with all the other federal service academies. 

 

It gets even more confusing, as this regulation, published by USAFA in 2018, in Chapter 14, says it is not an eligible institution: https://static.e-publishing.af.mil/production/1/usafa/publication/usafai65-101/usafai65-101.pdf

 

So I currently have the IRS saying that is eligible, as it is on the list provided, the forum saying I cannot, and USAFA saying that I cannot.  

 

Can anyone help clear this up?

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3 Replies
Level 15
Apr 18, 2020 6:28:42 PM

Cadets cannot claim education credits.  Reference: page 17 at

https://static.e-publishing.af.mil/production/1/usafa/publication/usafai65-101/usafai65-101.pdf

New Member
Apr 18, 2020 6:38:41 PM

Okay, I put this link in my original message, so I would appreciate more elaboration than a link to what I already read and commented on.

 

Why is the IRS then saying on their press releases and other parts of the website that if it appears on the linked list (which USNA does) then it is eligible? There are other areas of their website that reference the same requirements.

 

I just want clarification. If the answer is no, why does the IRS have verbiage that states if it appears on a certain list, which USNA does, why is it not an eligible institution?

 

Additionally, USNA and USMA have never publicized regulations stating this, it is only Air Force, and I have advice from prior graduates telling me to look into it.

Level 15
Apr 19, 2020 4:15:24 AM

Here's another link:

https://s3.amazonaws.com/usma-media/inline-images/Parents/pdf/tax_information_for_parents.pdf

 

The question has been covered in this forum in the past.  Some of the posts have been archived. I'll post them here anyway as they are on long list of still valid posts that TT has promised to restore, some time in the future. The answer in every case was no, you can't claim a credit. Among reasons were you're not a student, you're a service member.  The money you paid with is already tax free money.  Service academies are not eligible institutions.

https://ttlc.intuit.com/questions/1919687-my-son-started-as-a-cadet-at-west-point-us-military-acadamy-on-july-1-2013-should-i-count-him-as-a-dependent-for-6-months?jump_to=answer_3356046

 

https://s3.amazonaws.com/usma-media/inline-images/Parents/pdf/tax_information_for_parents.pdf 

 

https://ttlc.intuit.com/questions/2896578-hi-i-m-trying-to-amend-my-taxes-because-i-think-i-might-have-left-off-expenses-i-can-claim-as-a-cadet-do-you-know-where-i-can-file-my-pay-advance-and-other-expenses

 

https://ttlc.intuit.com/questions/2403910-can-a-west-point-cadet-claim-a-deduction-for-the-cost-of-books-and-fees-deducted-from-his-military-pay

 

https://ttlc.intuit.com/questions/1500275-my-son-is-at-the-air-force-academy-does-he-qualify-as-my-dependent