The Lifetime Learning Credit is one of two tax credits, along with the American Opportunity Credit, that help offset the costs of higher education.
You can claim the Lifetime Learning Credit for up to $2,000 of an eligible student’s qualified higher education expenses. The eligible student must be you, your spouse, or your dependent.
Unlike the American Opportunity Credit, which you can claim for no more than four tax years, there is no limit on the number of years you can claim the Lifetime Learning credit.
Like all tax credits, the Lifetime Learning Credit will reduce your tax burden outright. But it is not a refundable credit, which means that it cannot give you any money back in the form of a refund.
Be aware that you can only choose one education tax benefit per student. In figuring your taxes make sure that neither the Tuition and Fees Deduction nor the American Opportunity Credit gives you a bigger benefit.
Our system automatically determined if the Lifetime Learning Credit can be applied or if it would be in your best interest to claim the Tuition and Fees Deduction or the American Opportunity Credit.