How to claim 1098-T if you’re only a full-time student in 1 quarter

[jordannguyen]

Hi there,

I was a a full-time student during the Winter 2019 quarter (which lasted from 01/2019 - 03/2019). During the Spring 2019 quarter which lasted from 03/2019 - 06/2019), since it was my graduation quarter, I was given a special permission from the school board for course-reduction, and I only took a 5-credits class. 
But because the Winter 2019 tuition due date was at the beginning of December 2018, I had to make payment before December 2018. I aldo did receive a 1098-T form with box 7 checked for 2018 year.

I have 2 questions regarding this matter. The first one is that, can I still claim as “at-least a half-time student” on the 2019 tax? 

The second question is that, in the case that I refunded my American Opportunity credits of 2019 to the IRS, can I still continue to make a claim  for American Opportunity in another year? (I started to claim it since 2017, and 2020 would be my last year of claiming it, but if I refunded my 2019 claim to the IRS, does that mean I can still claim it again in 2021 for one last time?)

[AmyC]

1. To claim at least half time status, you must actually be at least half time for some part of 5 months.

2. The AOTC is good for 4 undergraduate years. You can pick which 4 to use.

[jordannguyen]

Hi Amy, thank you for your response!

I have some follow up questions if you don’t mind. I was a full time student during Jan 2019 - Mar 2019 (the Winter quarter). However, I paid the tuition for this period back in November 2018. So does it still count that I am “at least a half-time student” in 2019? And if so, apart from the 1098-T of 2018, is there any other paperwork I should submit to prove my eligibility?

Please help. Thank you!

[AmyC]

January through March is 3 months, not 5. Many colleges use semesters which would be Jan - May. You would have to go two quarters at least half time to make the 5 month mark. However, because it is a quarter, you may have been able to use the tuition on your 2018 return since it was paid in 2018. Since it was paid in Nov 2018, If you did not claim it, you should.

If you paid in 2019,three months would make you ineligible for AOTC for 2019 but not lifetime learning.  You can use the  AOTC when you do qualify.

See What expenses qualify for the Lifetime Learning Credit? Although, it does not sound like you have more than books and supplies for 2019.

[jordannguyen]

Thank you so much Amy! I have one last question please. If I pay the IRS back the AOTC money of 2019, then can I claim AOTC for another year?

(2020 supposed to be my 4th year to claim AOTC, but I still have the undergrad program going on for 1 more year)

[AmyC]

Absolutely! If you want to amend 2018 for more of a refund, you may be able. 2019 you can amend and pay back. Then any 4 years for AOTC is fine.

Life happens and the average student takes 5 years to graduate which covers 6 calendar years. So, pick and choose when you have over $4,000 of expenses for AOTC and use lifetime learning for the lesser years. Great questions and good thinking!

[jordannguyen]

Thank you so so so so much Amy!

You’re a lifesaver! You provided me with great info and great relief for my worries for the last couple weeks! 

I hope you have a wonderful weekend!

[AmyC]

You are so welcome! I am glad I could help.