Expenses that count towards 4K required for education credits

[confusedrf]

I'm looking to enter my books and materials that I paid for out of pocket. I use the 529 plan to pay for her tuition. I use my own cash to pay for her books. However TurboTax seems to indicate that I cannot put books and materials as an education expense unless you bought them directly from the college? That sounds odd to me? So if I bought the books on Amazon that doesn't count towards the 4K required to get the full 2500? Where would I enter these?

[ColeenD3]

It depends which credit you are trying to claim.

For AOTC only, expenses for books, supplies, and equipment the student needs for a course of study are included in qualified education expenses even if it is not paid to the school. For example, the cost of a required course book bought from an off-campus bookstore is a qualified education expense.

See our Education Credits Frequently Asked Question page for more information.

Q2. How does AOTC differ from the existing LLC?

A2. Unlike the other education tax credits, the AOTC is allowed for expenses for course-related books, supplies, and equipment that are not necessarily paid to the educational institution but are needed for attendance. It also differs because you can claim the credit for four tax years instead of no limit on the number of years you can claim the LLC. See Education Credits: AOTC and LLC for more information.

Education Credits

[confusedrf]

I'll read those links this evening thank you.

Regardless of what they say I'm stuck with following a long TurboTax. 

I see only one place to enter books and materials.

If you go to deductions and credits... Then go to the education section called expenses and scholarships form 1098-T and click update.... Then edit my student.... Then go to the other education expenses and click edit...

Here you find three areas where you might want to put your books and materials one says books and materials required to be purchased from the school one says books and materials not required to be purchased from the school one says other books and course related materials.

Where do I enter the books and materials I purchased out of pocket from Amazon or anywhere except the school. If you click learn more on each section it's confusing and they seem to contradict each other.

[AnnetteB6]

Since you purchased the books from somewhere other than the school and it was not required to be purchased from the school, enter the expense in the 'books and materials not required to be purchased from the school' box.

As mentioned by expert ColeenD3, this distinction is made so that the correct expenses can be calculated for the different education credits allowed.  Then, TurboTax will recommend which credit is best for your tax situation based on all of your inputs to this section.

@confusedrf