• LinkedIn Social Icon
  • Facebook Social Icon
  • Twitter Social Icon
  • alignable_square
  • Yelp Social Icon
  • avvo
  • Justia-Icon
  • lawyer_com favicon
  • taxbuzz
  • ptin-seal
  • 170927-usnsquarelogo-design
  • favicon-32x32
  • mail icon

Law Office of James D. Lynch, PLLC

3000 Joe Dimaggio Blvd #90, Round Rock, TX 78665

info@jimlynchlaw.com

(512) 745-6347

(714) 745-3875

©2020 by Law Office of James D. Lynch, PLLC. The information contained in this website is for informational purposes and is not to be considered legal advice.  Any correspondence between you and the Law Office of James D. Lynch is not intended to create an attorney-client relationship.  Please do not send confidential information to us until after an attorney-client relationship has been established by an engagement letter signed by the proposed client and our attorney.

  • James D. Lynch

Tax Credits To Help Offset Higher Education Costs

If taxpayers, their spouses, or their dependents take post-high school coursework, they may be eligible for a tax benefit. There are two credits available to help taxpayers offset the costs of higher education: the American Opportunity Credit and the Lifetime Learning Credit. Taxpayers use Form 8863, Education Credits, to claim the credits, and you will receive a Form 1098-T from the educational institution.


The American Opportunity Credit is: ● Worth a maximum benefit up to $2,500 per eligible student ● Only for the first four years at an eligible college or vocational school ● For students pursuing a degree or other recognized education credential ● Partially refundable (meaning if the credit brings the amount of tax owed below zero, 40 percent of any remaining amount of the credit, up to $1,000, is refundable.)


The Lifetime Learning Credit is: ● Worth a maximum benefit up to $2,000 per tax return, per year, no matter how many students qualify ● Available for all years of post-secondary education and for courses to acquire or improve job skills ● Available for an unlimited number of tax years