“I am a graduate student, do I still qualify?=============>Yes. The lifetime learning credit offers an income tax credit for graduate school expenses. You can reduce your tax liability, not your taxable income, by up to $2,000. The exact amount equals 20 percent of your qualifying educational expenses up to $10K. In order to claim this credit, you must complete Parts III and V of Form 8863 and then report the credit on your form 1040 line 49 income tax return.
“I paid through loans, do I still qualify?”-----------> yes; Unlike the Hope credit, the Lifetime Learning credit is applicable to any kind of study, including adult-education courses or a single course to improve job skills. . The credit applies to full-time or part-time post-secondary education, including undergraduate, graduate, and professional study. also, you may be able to deduct interest you pay on a qualified student loan. Generally, the amount you may deduct is the lesser of $2,500 or the amount of interest you actually paid. If you are married , then, your filing status is not married filing separately. To claim a deduction for the interest portion of your student loan payments, you must use either Form 1040 or Form 1040A to file your tax return. You can claim the deduction without itemizing, however, because the write-off counts as an adjustment to income. When repaying your student loans, you may only deduct the interest paid from your income taxes. You cannot deduct the portion of your payment that goes toward paying down the principal of your student loans.