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An eligible educational institution also includes certain educational institutions located outside the United States that are eligible to participate in a student aid program administered by the Department of Education. The educational institution should be able to tell you if it is an eligible educational institution. Additional Information See Pub. 970, chapters 2 and 3, for more information about these credits. Specific Instructions You must complete a separate Part III on page 2 for each individual for whom you're claiming either credit before you complete Parts I and II. Part I—Refundable American Opportunity Credit Line 1 Enter the amount from Part III, line 30. If you're claiming the American opportunity credit for more than one student, add the amounts from each student's Part III, line 30, and enter the total for those students on line 1. Line 3 Enter your MAGI. Generally, your MAGI is the amount on your Form 1040 or 1040-SR, line 11. However, if you're filing Form 2555, or Form 4563, or are excluding income from Puerto Rico, you must include on line 3 the amount of income you excluded. For details, see Pub. 970. Line 7 If you were under age 24 at the end of 2021 and the conditions listed below apply to you, you cannot claim any part of the American opportunity credit as a refundable credit on your tax return. Instead, you can claim your allowed credit, figured in Part II, only as a nonrefundable credit to reduce your tax. You don't qualify for a refundable American opportunity credit if 1 (a, b, or c), 2, and 3 below apply to you. 1. You were: a. Under age 18 at the end of 2021, or b. Age 18 at the end of 2021 and your earned income (defined later) was less than one-half of your support (defined later), or c. Over age 18 and under age 24 at the end of 2021 and a full-time student (defined later) and your earned income (defined later) was less than one-half of your support (defined later). 2. At least one of your parents was alive at the end of 2021. 3. You're not filing a joint return for 2021. If you meet these conditions, check the box next to line 7, skip line 8, and enter the amount from line 7 on line 9. If these conditions don't apply to you, complete line 8. You can answer the following questions to determine whether you qualify for a refundable American opportunity credit. 1. Were you under age 24 at the end of 2021? TIP CAUTION !

If no, stop here; you do qualify to claim part of the allowable American opportunity credit as a refundable credit.

If yes, go to question 2. 2. Were you over age 18 at the end of 2021?

If yes, go to question 3.

If no, go to question 4. 3. Were you a full-time student (defined later) for 2021?

If no, stop here; you do qualify to claim part of your allowable American opportunity credit as a refundable credit.

If yes, go to question 5. 4. Were you age 18 at the end of 2021?

If yes, go to question 5.

If no, go to question 6. 5. Was your earned income (defined later) less

than one-half of your support (defined later) for 2021?

If no, stop here; you do qualify to claim part of your allowable American opportunity credit as a refundable credit.

If yes, go to question 6. 6. Were either of your parents alive at the end of 2021?

If no, stop here; you do qualify to claim part of your allowable American opportunity credit as a refundable credit.

If yes, go to question 7. 7. Are you filing a joint return for 2021?

If no, you don't qualify to claim part of your allowable American opportunity credit as a refundable credit.

If yes, you do qualify to claim part of your allowable American opportunity credit as a refundable credit. The educational institution's EIN must be provided on line 22(4) if the American opportunity credit is claimed for this student. Earned income. Earned income includes wages, salaries, professional fees, and other payments received for personal services actually performed. Earned income includes the part of any scholarship or fellowship grant that represents payment for teaching, research, or other services performed by the student that are required as a condition for receiving the scholarship or fellowship grant. Earned income doesn't include that part of the compensation for personal services rendered to a corporation which represents a distribution of earnings or profits rather than a reasonable allowance as compensation for the personal services actually rendered. If you're a sole proprietor or a partner in a trade or business in which both personal services and capital are material income-producing factors, earned income also includes a reasonable allowance for compensation for personal services, but not more than 30% of your share of the net profits from that trade or business (after subtracting the deduction for one-half of self-employment tax). However, if capital isn't an income-producing factor and your personal services produced the business income, the 30% limit doesn't apply. Support. Support includes food, shelter, clothing, medical and dental care, education, and the like. Generally, the amount of an item of support will be the amount of expenses paid by the one furnishing such item. If the item of support is in the form of property or lodging, measure the amount of such item of support by its fair market value. To figure your support, count support provided by you, your parents, and others. However, a scholarship received by you isn't considered support if you were a full-time student (defined next) for 2021. Full-time student. Solely for purposes of determining whether a scholarship is considered support, you were a full-time student for 2021 if during any part of any 5 calendar months during the year you were enrolled as a full-time student at an eligible CAUTION ! -6- Instructions for Form 8863 (2021)