I am a full time student. I have gotten a significant refund from the 1098-T the past two years. Why did it change this year?

Forum|Forum|5 years ago
January 26, 2021
1 reply
0 views

I don't make over 80,000. And I receive basic grants from the school. It says I don't qualify for the Tuition and Fees deduction. Does anyone know why?

TurboTax Free Edition Online

Hal_Al

Employee

A better question may be: Why are you after the Tuition and Fees deduction (TFD) instead of the more generous American Opportunity credit (AOC or AOTC) or Lifetime Learning credit (LLC). The AOC is the usual reason for a "significant refund ".

If you are eligible, you have answered something wrong, in the interview. But, a lot of people are just not eligible. The are more reasons than just income level. If your grants exceed expenses, you won't qualify. Although there is a way around that

See https://www.irs.gov/Individuals/AOTC

https://turbotax.intuit.com/tax-tips/college-and-education/what-is-the-american-opportunity-tax-credit/L1Mzj4ybX

https://ttlc.intuit.com/community/credits-and-deductions/help/who-is-eligible-to-take-the-american-opportunity-tax-credit/00/26845

https://turbotax.intuit.com/tax-tips/college-and-education/deduction-for-higher-education/L0krerdUK#:~:text=The%20Tuition%20and%20Fees%20Deduction,your%20spouse%2C%20or%20your%20dependents (TFD)

https://www.irs.gov/individuals/llc (LLC)