Hope Credit question

[PromisedLife]

What is the name of your state (only U.S. law)? Oklahoma

From what I understand there are 2 requirements to qualify for the Hope Credit:

1. One has to be enrolled at least half time.
2. One cannot have more than 2 years of college completed.

I have a question about my husband's situation. While he WAS (and is) indeed enrolled half time, we are unsure about him meeting the other requirement:

He received an associate's degree (at least 2 years worth of credit) through the USAF many years ago, but recently got back to college again. Except for a few general ed courses, the vast majority of his credits did not transfer and he does not have enough credits for his current degree to be considered having completed 2 years.

Does he meet the 2nd requirement, and thus, does he qualify for the Hope Credit?

Thanks so much for your input.

PS: Last year we took the Lifetime Learning Credit, as the software did not give up an option for the Hope Credit. We might have indicated he had already completed 2 years? Not sure why.

 

[davew128]

I think the answer is pretty obvious. He went to school at least half time for two years. That he can't transfer two years worth of credit to his current school does nothing to change that.

 

[PromisedLife]

I think the answer is pretty obvious. He went to school at least half time for two years. That he can't transfer two years worth of credit to his current school does nothing to change that.

Thanks for taking the time to answer. As far as the first part of your answer: He's never gone to school at least half time before, the associated was accumulated in 8 years, and he's never claimed the Hope Credit on previous tax raturns. I am assuming that, despite that, we still can't claim Hope Credit?
Thanks for allowing me to ask, $1200 of returns sure makes a lot of difference

 

[LdiJ]

What is the name of your state (only U.S. law)? Oklahoma

From what I understand there are 2 requirements to qualify for the Hope Credit:

1. One has to be enrolled at least half time.
2. One cannot have more than 2 years of college completed.

I have a question about my husband's situation. While he WAS (and is) indeed enrolled half time, we are unsure about him meeting the other requirement:

He received an associate's degree (at least 2 years worth of credit) through the USAF many years ago, but recently got back to college again. Except for a few general ed courses, the vast majority of his credits did not transfer and he does not have enough credits for his current degree to be considered having completed 2 years.

Does he meet the 2nd requirement, and thus, does he qualify for the Hope Credit?

Thanks so much for your input.

PS: Last year we took the Lifetime Learning Credit, as the software did not give up an option for the Hope Credit. We might have indicated he had already completed 2 years? Not sure why.

Nope, he doesn't qualify for the Hope, he needs to take the Lifetime Learning credit, OR the tuition and fees deduction, whichever produces the best result.

Keep you eye on state results as well when you compare the two. The Lifetime Learning credit has no impact on your state return, but the tuition and fees deduction may.

 

[PromisedLife]

Keep you eye on state results as well when you compare the two. The Lifetime Learning credit has no impact on your state return, but the tuition and fees deduction may.

Thanks so much for your reply, and especially that bit of info. While opting for the LL credit gave us a larger federal refund, opting for the t+f deduction lowered what we owed the state by so much, it ended up being more 'profitable' (by $17 but nonetheless) to opt for the t+f deduction. If you hadn't pointed that out, we never would have tried that option. Now we know for next year too. Thanks a lot.

 

[LdiJ]

Thanks so much for your reply, and especially that bit of info. While opting for the LL credit gave us a larger federal refund, opting for the t+f deduction lowered what we owed the state by so much, it ended up being more 'profitable' (by $17 but nonetheless) to opt for the t+f deduction. If you hadn't pointed that out, we never would have tried that option. Now we know for next year too. Thanks a lot.

You are welcome.