Lifetime Learning Credit
The Lifetime Learning tax credit applies to tuition and fees for undergraduate, graduate, professional, and continuing-education coursework. A credit equal to 20 percent of $10,000 (beginning in 2003) of education expenses can be claimed on a family's tax return. Eligible education expenses are offset by scholarships, grants, and other tax-free tuition benefits. Unlike the Hope Scholarship Credit, the student is not required to be enrolled at least half-time in one of the first two years of post-secondary education. This credit may be claimed for an unlimited number of years. Qualified education expenses paid during the tax year are eligible for the Lifetime Learning Credit. Income limits also apply.
REPORTING OF EDUCATIONAL COST PAYMENTS (FORM 1098-T)
FOR MORE INFORMATION ON EDUCATIONAL TAX AND SAVINGS OPTIONS, VISIT THE FOLLOWING WEB SITES:
- Internal Revenue Service, Publication 970, Tax Benefits for Higher Education www.irs.gov/pub/irs-pdf/p970.pdf
- TCRS Tax Credit Reporting Service http://tcrs.com
- For general information on TRA97 or to view/print a copy of your University of Alabama 1098-T go to www.1098T.com