Form 8863 Education Credits

Form

8863

Education Credits (American Opportunity, Hope, and
Lifetime Learning Credits)
©

Department of the Treasury
Internal Revenue Service (99)

OMB No. 1545-0074

2009

See separate Instructions to find out if you are eligible to take the credits.
© Attach to Form 1040 or Form 1040A.

Name(s) shown on return

Attachment
Sequence No. 50
Your social security number

Caution: You cannot take both an education credit and the tuition and fees deduction (see Form 8917) for the same student for the same year.

Part I

American Opportunity Credit
Use Part II if you are claiming the Hope credit for a student attending school in a Midwestern disaster area. If you use
Part II, you cannot use Part I for any student.
Caution: You cannot take the American opportunity credit for more than 4 tax years for the same student.

1

(a) Student’s name
(as shown on page 1
of your tax return)
First name
Last name

(b) Student’s
social security
number (as
shown on page 1
of your tax return)

(c) Qualified
expenses (see
instructions). Do
not enter more
than $4,000 for
each student.

(d) Subtract $2,000
from the amount in
column (c). If zero
or less, enter -0-.

(e) Multiply the
amount in column
(d) by 25% (.25)

2 Tentative American opportunity credit. Add the amounts on line 1, column (f). Skip Part II if line 2 is
more than zero. If you are taking the lifetime learning credit for a different student, go to Part III;
©
otherwise, go to Part IV . . . . . . . . . . . . . . . . . . . . . . . . .

Part II

(f) If column (d) is zero,
enter the amount from
column (c). Otherwise,
add $2,000 to the
amount in column (e).

2

Hope Credit
Use this part if you are claiming the Hope credit for a student attending school in a Midwestern disaster area and elect to
waive the computation method in Part I for all students.
Caution: You cannot take the Hope credit for more than 2 tax years for the same student.

3

(a) Student’s name
(as shown on page 1
of your tax return)
First name
Last name

(b) Student’s
social security
number (as
shown on page 1 of
your tax return)

(c) Qualified
expenses (see
instructions). Do
not enter more
than $2,400* for
each student.

(d) Enter the smaller
of the amount in
column (c) or
$1,200**

(e) Add
column (c) and
column (d)

(f) Enter one-half
of the amount in
column (e)

*For each student who attended an eligible educational institution in a Midwestern disaster area, do not enter more than $4,800.
**For each student who attended an eligible educational institution in a Midwestern disaster area, enter the smaller of the amount in column (c) or $2,400.

4 Tentative Hope credit. Add the amounts on line 3, column (f). If you are taking the lifetime learning
©
credit for a different student, go to Part III; otherwise, go to Part V . . . . . . . . . . .

Part III

4

Lifetime Learning Credit. Caution: You cannot take the American opportunity credit or the Hope credit and the
lifetime learning credit for the same student in the same year.

5

(a) Student’s name (as shown on page 1 of your tax return)

First name

Last name

(b) Student’s social security
number (as shown on page
1 of your tax return)

6
7a

Add the amounts on line 5, column (c), and enter the total . . . . . . . . . . . . . .
Enter the smaller of line 6 or $10,000 . . . . . . . . . . . . . . . . . . . .
b For students who attended an eligible educational institution in a Midwestern disaster area, enter the smaller
of $10,000 or their qualified expenses included on line 6 (see special rules on page 3 of the instructions) .
c Subtract line 7b from line 7a
. . . . . . . . . . . . . . . . . . . . . . .
8a Multiply line 7b by 40% (.40) . . . . . . . . . . . . . . . . . . . . . . .
b Multiply line 7c by 20% (.20) . . . . . . . . . . . . . . . . . . . . . . .
c Tentative lifetime learning credit. Add lines 8a and 8b. If you have an entry on line 2, go to Part IV; otherwise go to Part V
For Paperwork Reduction Act Notice, see page 5 of separate instructions.

Cat. No. 25379M

(c) Qualified
expenses (see
instructions)

6
7a
7b
7c
8a
8b
8c
Form 8863 (2009)

Page 2

Form 8863 (2009)

Part IV
9
10
11
12
13
14

Refundable American Opportunity Credit

Enter the amount from line 2 . . . . . . . . . . . . . . . . . . .
Enter: $180,000 if married filing jointly; $90,000 if single, head of
10
household, or qualifying widow(er) . . . . . . . . . . . . .
11
Enter the amount from Form 1040, line 38,* or Form 1040A, line 22 . . .
Subtract line 11 from line 10. If zero or less, stop; you cannot take any
12
education credit . . . . . . . . . . . . . . . . . . .
Enter: $20,000 if married filing jointly; $10,000 if single, head of household,
13
or qualifying widow(er) . . . . . . . . . . . . . . . . .
If line 12 is:
● Equal to or more than line 13, enter 1.000 on line 14 . . . . . . . . . .

.

.

● Less than line 13, divide line 12 by line 13. Enter the result as a decimal (rounded to
at least three places) . . . . . . . . . . . . . . . . . . . . .
15

16

19
20
21
22
23

24
25
26
27

%

.

.

.

9

.

Multiply line 9 by line 14. Caution: If you were under age 24 at the end of the year and meet
the conditions on page 5 of the instructions, you cannot take the refundable American opportunity
credit. Skip line 16, enter the amount from line 15 on line 17, and check this box . . ©
Refundable American opportunity credit. Multiply line 15 by 40% (.40). Enter the amount here and
on Form 1040, line 66, or Form 1040A, line 43. Then go to line 17 below . . . . . . . . .

Part V
17
18

. . . . .

29

.

15
16

Nonrefundable Education Credits

Subtract line 16 from line 15
. . . . . . . . . . . . . . . . . . . . . . .
Add line 4 and line 8c. If you have no entry on these lines, skip lines 19 through 24, and enter the
amount from line 17 on line 25 . . . . . . . . . . . . . . . . . . . . . . .
Enter: $120,000 if married filing jointly; $60,000 if single, head of
19
household, or qualifying widow(er)
. . . . . . . . . . . . .
20
Enter the amount from Form 1040, line 38,* or Form 1040A, line 22 . . .
Subtract line 20 from line 19. If zero or less, skip lines 22 and 23, and enter
zero on line 24 . . . . . . . . . . . . . . . . . . . .
21
Enter: $20,000 if married filing jointly; $10,000 if single, head of household,
22
or qualifying widow(er) . . . . . . . . . . . . . . . . .
If line 21 is:
● Equal to or more than line 22, enter the amount from line 18 on line 24 and go to line 25
● Less than line 22, divide line 21 by line 22. Enter the result as a decimal (rounded to at least three
places) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
©
Multiply line 18 by line 23
. . . . . . . . . . . . . . . . . . . . . . .
Add line 17 and line 24. If zero, stop; you cannot take any nonrefundable education credit . . .
Enter the amount from Form 1040, line 46, or Form 1040A, line 28 . . . . . . . . . . .
Enter the total, if any, of your credits from:
● Form 1040, lines 47, 48, and the amount from Schedule R entered on line 53 .
. . . .
● Form 1040A, lines 29 and 30 . . . . . . . . . . . . . . . . . .

%

28

14

Subtract line 27 from line 26. If zero or less, stop; you cannot take any nonrefundable education
credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Nonrefundable education credits. Enter the smaller of line 25 or line 28 here and on Form 1040,
line 49, or Form 1040A, line 31 . . . . . . . . . . . . . . . . . . . . . . .

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23
24
25
26

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27

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*If you are filing Form 2555, 2555-EZ, or 4563, or you are excluding income from Puerto Rico, see Pub. 970 for the amount to enter.
Form 8863 (2009)