Education Credit

Forum|Forum|5 years ago
January 30, 2021
1 reply
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HI, I'm working through my taxes. I have an AGI of 143930 married filing jointly. I paid almost $6000 in tuition and fees for my graduate program in 2020. But Turbo tax is saying I don't qualify for the credit due to "no net qualified expenses". This is strange since I entered the expenses. Is this a blip in Turbotax? or is there some other reason I don't qualify.

Hal_Al

Employee

Grad students are not eligible for the American Opportunity Credit, which has a $180,000 MAGI limit (MFJ).

The lifetime Learning credit MAGI is $138,000 if you file a joint return.

You should be eligible for the $2000 (not the $4000) Tuition and Fees deduction (not a credit).

The usual reason for "no net qualified expenses" is that box 5 of your 1098-T is larger than box 1. Employer assistance is another reason (and is sometimes shown in box 5)