Lifetime Learning Tax Credit Information

• Education expenses paid on or after July 1, 1998, are eligible for the Lifetime Learning credit.
• Lifetime Learning tax credit applies to tuition and fees for undergraduate, graduate and continuing-education course work taken part-time to improve or upgrade job skills.
• A family can claim a credit up to 20 percent of  $10,000 of eligible educational expenses paid.
• The maximum benefit is $2,000 each tax year.
• Eligible education expenses are reduced by scholarships, grants and other tax-free tuition benefits.
• The Lifetime Learning Credit is taken in that year expenses are paid and education either begins that year or the first three months of the following year.
• The credit is indexed for inflation. Refer to IRS Form 8863 for the maximum credit amounts for your tax return.

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