TurboTax saying I am not eligible for American opportunity credit - my son first year college and I am under the $ threshold-am I filling out wrong?

Forum|Forum|2 years ago
March 31, 2024
1 reply
0 views

Form asks who is the student - I put my son, the amount of payments to the school, and zero for scholarships as we are applying the pell grant to room/board since he has no income aside from that. When I fill out a paper version of form 8863, I qualify for the credit - so why not with turbo tax?

TurboTax Deluxe Online

LeticiaF1

It could be that you answered a question incorrectly as you were going trough the education credit interview in TurboTax. I would suggest that you go back and double check your entries. To go back to that section in TurboTax:

Login to your account
Go to Tax Home and then Deductions & Credits
Scroll down to Education Credits, select Edit

Go through all the questions, one wrong answer could have disqualified you from the credit. For more information on education credits and their requirements see the TurboTax help article:

What education tax credits are available?

Hal_Al

Employee

You must receive and enter a form 1098-T from the school or tell TurboTax that you qualify for an exception.

You claim the credit on the parent's return, not the student-dependent's.

As, LeticiaF1 says, follow the interview carefully. You've most likely answered something wrong. Sometimes it's best to delete and start over. Go through the entire education interview until you reach a screen titled "Your Education Expenses Summary". Click delete next to the student's name. You'll then get the "Your Education Expenses Summary" screen again. Click the "Add a student" button.

Do not enter the Pell Grant under financial assistance. Loans are ignored in the educational expenses section.