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Who
may claim the Hope credit or lifetime learning credit?
You may claim the credit if you pay
qualified tuition and related expenses of higher education
for an eligible student who is either yourself, your
spouse, or a dependent for whom you claim an exemption
on your tax return.
What
are the eligibility requirements for the student for
the
Hope credit?
For purposes of the Hope credit, an
eligible student is a student who meets all of the following
requirements:
- Did
not have expenses that were used to figure a Hope credit
in any 2 earlier years.
- Had
not completed the first 2 years of postsecondary education
(generally, the freshman and sophomore years of college)
before 2008.
- Was
enrolled at least half time in a program that leads
to a degree, certificate, or other recognized educational
credential for at least one academic period (e.g.,
semester, trimester, quarter) beginning in 2008.
- Was
free of any federal or state felony conviction for
possessing or distributing a controlled substance as
of the end of 2008.
What
are the eligibility requirements for the student for
the
lifetime learning credit?
For purposes of the lifetime learning credit, an eligible student is a student who is enrolled
in one or more courses at an eligible educational institution.
What is an eligible
educational institution?
For purposes
of both the Hope credit and lifetime learning credits,
an eligible institution is defined as any college, university,
vocational school, or other postsecondary educational
institution eligible to participate in a student aid
program administered by the Department of Education. It
includes virtually all accredited, public, nonprofit,
and proprietary (privately owned profit-making) postsecondary
institutions.
All colleges
under the Los Angeles Community College District are
eligible educational institutions.
What
expenses do not qualify for the Hope and lifetime learning credits?
Qualified tuition and related expenses
do not include the cost of:
- Insurance
- Medical
expenses (including student health fees)
- Room
and Board
- Transportation
- Similar
personal, living or family expenses.
How
does financial aid and/or other tax-free educational
assistance
affect the amount of Hope credit or lifetime learning
credit I can claim?
You must reduce the qualified expenses
by the amount of any tax-free educational assistance
you received. Tax-free
educational assistance could include:
- Scholarships
- Pell
Grants
- Employer-provided
educational assistance
- Veterans' educational
assistance, and
- Any
other nontaxable payments (other than gifts, bequests,
or inheritances) received for educational expenses.
How and when
do I receive a copy of my 1098-T?
The LACCD is required by the IRS
to mail a copy of your 1098-T by January 31, 2008. Please
allow 10 working days before requesting a duplicate form
to be mailed.
If
I receive a 1098-T from the college, does this mean
I am eligible
to receive either the Hope or lifetime learning credit?
Not necessarily. Please
refer to IRS Publication 970 or contact a tax advisor
to find out if you are eligible to receive those credits.
What do I do
if my 1098-T contains incorrect information?
If you need to make a correction
on your name, social security number, or address, you
can
visit our website to print a W-9S form, fill it out and
submit the form to the Business or Admissions Office
at your campus. Please
make sure to request a reprint of your 1098-T to be sent
to the address indicated on your W-9S form.
If you
do not have access to a computer, you may also visit
the Business Office or Admissions
Office at your campus to request for a W-9S form.
Will
I get a 1098-T if my tuition fees were waived because
I qualified for a Board of Governor's Fee
Waiver?
No.
Do
I need to receive a Form 1098-T, Tuition Payments
Statement, from my school before
I can file for the Hope credit and
the lifetime learning credit?
There is no requirement that you receive
this form before you can claim these credits
Can
nonresident aliens claim the lifetime learning credit for tuition paid to go to school?
If you are a nonresident alien for any part of the year,
you generally cannot claim the education credits. However,
if you are married and choose to file a joint return
with a U.S. citizen or resident spouse, you may be eligible
for the Hope or lifetime learning credit.
What
are the differences between the Hope credit and
the lifetime learning credit?
The
following table summarizes the differences between
the Hope credit and the lifetime learning credit.
|
Hope Credit
|
Lifetime Learning Credit
|
|
Up
to $1,800 credit per eligible student
|
Up
to $2,000 credit per return
|
|
Available
ONLY for the first two years of postsecondary
education ……and ONLY for 2 years per
eligible student
|
Available
for any postsecondary education and for courses
to acquire or improve job skills...
….and
for an unlimited number of years
|
|
Student
must be pursuing an undergraduate degree or other
recognized educational credential
|
Student
does not need to be pursuing a degree or other
recognized educational credential
|
|
Student
must be enrolled at least half time for at least
one academic period beginning during the year
|
Available
for one or more courses
|
|
No
felony drug conviction on student's record
|
Felony
drug conviction rule does not apply
|
Additional
resources:
IRS
Publication 970 - Tax Benefits for Higher Education (link
opens new browser window) 
IRS
Taxpayer Help and Education – Frequently Asked
Tax Questions and Answers (link opens new browser window)
