Claiming dependent college expenses for graduate student

[jkkcruz]

We helped our daughter attend graduate school this year by paying for her housing and personal expenses. She took out a student loan to pay for the tuition and fees. She did not make enough money in 2021 to take advantage of the tuition and fee credit herself. Is there any way we can claim the money we sent to her for her support this year?

[Vanessa A]

If you are claiming her as a dependent on your return, then you can claim the education credits even if she took the student loan out. 

[jkkcruz]

Ok, great! Thanks! What if she is attending a foreign school - the London School of Economics? What documentation do I need to get from her?

[ThomasM125 · Accepted solution]

If your daughter qualifies as your dependent, tuition and required course material expenses for her education at a qualified institution could be used to qualify for an education credit, even if she paid for it, or she borrowed the funds.

Housing and personal expenses are not allowable education expenses for purposes of an education credit. So, you will not get credit for them on your tax return.

In order for tuition and required course material to qualify, the college must be eligible to participate in a student aid program administered by the U.S. Department of Education.  You can use this link to research eligible institutions:  Eligible Educational Institutions

If the school qualifies, you just need a statement indicating what the tuition and required course material cost was.