Question

Claiming Education Credits

Forum|Forum|6 years ago
January 29, 2020
1 reply
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I am 25 and in graduate school and have a brother that is a full-time college student under 24. I live with my family (dad and brother) full-time, and my dad covers most if not all of the expenses; I only pay for internet service. This year, I am too old to be claimed as a dependent, and my income from my summer job was over the allowable amount the IRS has set to be claimed as an independent. Last year, I qualified as a dependent and adding my education credit to my dad's tax return boosted his refund.

I received a 1098-t from my school again this year and am eligible for the education credit because my dad has only claimed the education credit for me once, and it was last year. My dad wants to maximize his refund (like anyone else) and I want to make sure he avoids any problems with his return with the IRS.

Here are my questions:

1) Can he claim the education credit for me again this year even though I am no longer a qualifying dependent?

2) If my dad cannot claim my education credit, will I be able to use it when I file my taxes to increase my refund?

Not A Product Question

Hal_Al

Employee

Q.1). Can he claim the education credit for me again this year even though I am no longer a qualifying dependent?

A. 1). No. As you surmised, it's because you are no longer his dependent

Q. 2), If my dad cannot claim my education credit, will I be able to use it when I file my taxes to increase my refund?

A. 2). It depends on your income. As a grad student you are not eligible for the more generous, and partially refundable, American Opportunity Tax credit (AOTC), even though it was only used once before. You are eligible for the Lifetime Learning Credit (LLC). It is non refundable and can only be used to reduce your tax liability, if any. So, if your total income for the year is less than $12,200, you will see no increase in your refund.

If your Dad only claimed the AOTC once, he may want to look at amending past year returns