If you paid education expenses in 2026 for yourself, your spouse, or a dependent you claim on your tax return, you may qualify for valuable education tax benefits. These benefits can help reduce your federal income tax and, in some cases, increase your refund.
What Are Qualified Education Expenses?
Qualified education expenses generally include:
- Tuition paid to an eligible educational institution
- Required enrollment fees
- Books, supplies, and equipment required for enrollment or attendance
Keep in mind that not every school-related expense qualifies. Expenses such as room and board, transportation, insurance, and optional fees typically do not qualify for education credits.
What Documents Do You Need?
Most students receive Form 1098-T, Tuition Statement, from their college, university, or other eligible educational institution.
Form 1098-T is important because it provides information needed to determine whether you qualify for an education credit.
Look for the following on your form:
- Box 1 shows the amount of qualified tuition and related expenses paid during the year.
- The school's Employer Identification Number (EIN) should appear on the form.
What If You Didn't Receive Form 1098-T?
If you did not receive Form 1098-T, contact the educational institution directly.
You'll generally need the school's EIN and other enrollment information to accurately claim an education credit. Without the required information from the school, you may not be able to electronically file a return that claims certain education credits, and your eligibility could be affected.
Common Education Tax Credits
American Opportunity Credit (AOTC)
The American Opportunity Credit is typically available for students pursuing a degree or recognized credential during their first four years of higher education. This credit can provide significant tax savings for eligible taxpayers.
Lifetime Learning Credit (LLC)
The Lifetime Learning Credit may be available for undergraduate, graduate, professional degree, and job-skill improvement courses. Unlike the AOTC, it is not limited to the first four years of post-secondary education.
Does the School Have to Be Eligible?
Yes. To qualify for an education credit, the student generally must attend an eligible educational institution. These are schools that participate in federal student aid programs administered by the U.S. Department of Education.
Most accredited colleges, universities, vocational schools, and other post-secondary institutions qualify.
When Must the Expenses Be Paid?
For a 2026 tax return, qualified education expenses must generally be paid during 2026 for:
- Academic periods that begin during 2026, or
- Academic periods that begin during the first three months of 2027
Because timing matters, keep records of when payments were made, not just when classes were attended.