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 the 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.
What You Need to Do
- Make sure that the College Admissions and Records Office has an accurate Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).
- Make sure that the College has a current address for you and any individual who can claim you as a dependent on the federal tax return.
- Keep copies of documents related to payment of qualified tuition and fees for each tax year, such as canceled checks or credit card statements, financial aid awards, scholarships received and employer-paid tuition benefits.
- Obtain relevant IRS forms and documents, such as IRS Publication 970, Tax Benefits for Higher Education and IRS Publication 4, Student's Guide to Federal Income Tax. For form information call: 1.800.829.3676. For more information call: 1.800.829.1040. (You need Adobe Acrobat to read the forms.)
- Visit the IRS website for more information.
- NOVA Tax Information Office
- 8:30 a.m. to 5:00 p.m., Monday - Friday, February 1 - April 15
- If you have questions about the information reported on your 1098-T for the Hope or Lifetime Learning Tax Credits, call the NOVA Tax Information Office for assistance.
- If you have questions about interest deductions for qualified student loans that were reported on your 1098-E, call University Accounting Service Inc. at 1.800.999.6227.
- If you need a copy of a receipt for qualified expenses for credit or non credit enrollment, call the NOVA Tax Information Office for assistance.