What education tax credits are available for Mom, Dad or child?
There has been a fair amount of publicity surrounding tax credits available for tuition and fees paid to universities and other institutions of higher education, like the Hope Scholarship Credit and the Lifetime Learning Credit. There are several restrictions on the credits, however, and this is causing confusion about who actually qualifies for the credit. The credits are generally not available for higher-income taxpayers and can only be claimed by the parent if the child is claimed as a dependent on the parent’s tax return. Children can claim the credits, but only if they actually pay the tuition or fees, which can be accomplished, Martin says, through gifts from the parents.
