The Hope credit is one of the ways to qualify for a tax cut on college tuition. Your adjusted gross income will determine the eligibility for the Hope credit. This credit is a true tax credit, does not count as the same as a deduction. The tax credit is a percent of the tax which a tax payer owes. The maximum amount of Hope credit that one is eligible to claim is $1,650 for each qualified dependent. The two-year limitation for the Hope credit. It is not available for tax purposes after two years of qualifying dependent schooling.

A taxpayer may also use to claim the Lifetime Learning credit as a tuition credit. The credit is not restricted to a two-year limit. This credit is a bit distinct from the Hope credit. Taxpayers have the option of deducting 10 percent of the first $10,000 that they have spent for tuition. The maximum allowable credit of $2,000. The credits cannot be refunded. These credits will decrease the tax a taxpayer has to pay, but they will not provide a refund to the taxpayer. 8xm9rie6dm.

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