Do Education Tax Credits Expire?
Education tax credits, like many tax-related benefits, can indeed expire. However, the specifics depend on the type of credit in question. In the United States, the two primary education tax credits are the American Opportunity Tax Credit (AOTC) and the Lifetime Learning Credit (LLC).
American Opportunity Tax Credit (AOTC)
The AOTC is available for eligible students for up to four years of higher education. This credit is set to expire in 2021 unless extended by Congress. It's important to stay updated on legislative changes that might affect its availability. Additionally, the AOTC is subject to income limits, which may affect your eligibility.
Lifetime Learning Credit (LLC)
On the other hand, the LLC doesn't have a set expiration date and is available for an unlimited number of years, making it a great option for those seeking lifelong education. However, like the AOTC, the LLC has income limits that can affect eligibility.
General Considerations
While the credits themselves may not have a definitive expiration date, they are subject to changes in tax law. It's crucial to keep track of any alterations made by the IRS or Congress that could affect these credits. Always consult with a tax professional for the most current information regarding education tax credits and their status.