how the lifetime learning credit llc works
the llc may be claimed when a student is enrolled in undergraduate graduate or professional degree courses the credit may also be used for courses in specific career related skills 1to be eligible for the credit a student must be enrolled at an educational institution considered eligible by the internal revenue service and they must be taking higher education courses towards a degree or a recognized educational credential that provides or improves job skills 1finally the student must be enrolled at a qualifying institution for at least one academic period that began within the tax year for which they re claiming the credit the irs defines academic period as a semester trimester quarter summer session or other period determined by the school 1according to the irs an eligible educational institution is a school offering higher education beyond high school it is any college university vocational school or other post secondary educational institution eligible to participate in a federal student aid program run by the u s department of education 3income limitations for the llcin order to claim the full credit a taxpayer s modified adjusted gross income magi for the tax year 2022 must be 80 000 or less if they file as an individual for taxpayers filing jointly income must be 160 000 or less individual taxpayers with magi of at least 90 000 or couples filing a joint return with magi of at least 180 000 do not quality for the credit 4the credit is phased out for those taxpayers with modified adjusted gross income in excess of those amounts and those who are phased out cannot claim the 2 000 credit at all the modified adjusted gross income amount used by joint filers to determine the reduction in the llc according to the irs was not adjusted for inflation for taxable years beginning after december 31 2020 41