I have taken parent plus loan under my parents name. In 2020 tax file, they won't claim me as a dependent. Can they still claim educational credit? If not, who can?
Taking a loan is irreverent to filing a tax return.
If you are a dependent then only the taxpayer claiming you as a dependent can claim educational credits. If you are not claimed as a dependent by anyone then you can claim your own educational credits. (Educational credits go with the dependent).
Yes. You can claim the education credit even if the loan is in your parent’s name.
The IRS says if someone other than you, your spouse, or your dependent (such as a relative or former spouse) makes a payment directly to an eligible educational institution to pay for an eligible student's qualified education expenses, then the student is treated as receiving the payment from the other person and, in turn, paying the institution.