<p>We did not use any tax credits last year as I don't think we can, but I wanted to clarify.</p>
<p>S has scholarships (no loans, no work study) that fully pay for his COA (and extra since he lives off campus, but the scholarship pays for the cost of living on campus). He spends maybe $100 on books each semester, which I think is the only "qualified expense" beyond what is reported on the 1098.</p>
<p>I am not suggesting that we should receive a tax credit, but we don't want to pass one up if we are eligible.</p>
<p>Are there any credits which we as parents or S could take advantage of?</p>
<p>Thanks.</p>
<p>You only get credits if you pay money out. You can take the credit for books if you actually paid for them, and if you otherwise qualify under the income limits AND if your son didn’t use scholarship money to pay for those books.</p>
<p>Your S probably has tax liability on the portion of the scholarships used for food and housing. He needs to calculate that on his forms and check the 1098-T.</p>
<p>It would be difficult to claim one way or the other where the money came from to pay for books, but again, we aren’t talking a lot of money, so essentially a non-issue.</p>
<p>Yes, he’ll have to pay up. We know.</p>