Lifetime Learning Credit
How the lifetime learning credit works in 2026, who qualifies, the income phase-out, when it beats the AOTC, and a calculator.
Lifetime learning credit calculator
Lifetime learning credit 2026
The lifetime learning credit (LLC) is 20% of up to $10,000 of qualified tuition and required fees, so up to $2,000 per tax return (not per student). It's non-refundable: it can cut your tax to zero but won't produce a refund. Unlike the American opportunity credit, there's no limit on the number of years, and it covers graduate school, part-time study and courses to improve job skills. It phases out between $80,000 and $90,000 of modified AGI ($160,000 to $180,000 joint); married filing separately can't claim it.
LLC or AOTC?
You can't claim both for the same student in the same year. For the first four years of college the American opportunity tax credit (up to $2,500, partly refundable) is usually worth more; after that, the LLC. Claim either on Form 8863 using your 1098-T.
Common questions
How much is the lifetime learning credit?
20% of up to $10,000 of qualified expenses, so up to $2,000 per return.
Is the lifetime learning credit refundable?
No.
Can I claim the LLC for graduate school?
Yes, with no limit on the number of years.
Sources
More paycheck and tax calculators: Itemized Deductions · K1 Tax Form · LIHEAP · Married Filing Separately
Related
General information, not financial, tax or legal advice. Check important numbers with the official source before acting on them.