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Educational assistance, employer-provided (See Employer- provided educational assistance) Eligible educational institution: American opportunity credit 13 Coverdell ESA 39 Early distributions from IRAs 54 Education savings bond program 56 Lifetime learning credit 24 Qualified tuition program (QTP) 50 Qualified tuition reduction 8 Scholarships and fellowship grants 6, 8 Student loan interest deduction 32 Eligible elementary or secondary school: Coverdell ESA 39 Eligible student: American opportunity credit 18 Lifetime learning credit 29 Student loan interest deduction 32 Employer-provided educational assistance 57, 58 ESAs (See Coverdell education savings account (ESA)) Estimated tax 3 Excess contributions Coverdell ESA 43 Excess expenses, accountable plan 65 Expenses (See specific benefit) F Family members, beneficiary: Coverdell ESA 44 Qualified tuition program (QTP) 53 Fee-basis officials, work-related education deduction 65 Fellowship grants (See Scholarships and fellowship grants) Figures (See Tables and figures) Figuring tax-free and taxable (Worksheet 1-1) 6 Financial aid (See Scholarships and fellowship grants) Form 1098-E: Student loan interest deduction 33, 35 Form 1098-T: American opportunity credit 20 Lifetime learning credit 29 Form 1099-Q: Coverdell ESA 43, 45 Qualified tuition program (QTP) 51 Form 1099-R: Early distributions from IRAs 55 Form 2106 63 Form 5329: Coverdell ESA 47 Early distributions from IRAs 55 Qualified tuition program (QTP) 53 Form 8815 57 Form W-9S 20, 30, 35 Fulbright grants 7 G Glossary 4, 74-76 Graduate education tuition reduction 9 Grants: Fulbright 7 Pell 7 Title IV need-based education 7 H Half-time student: American opportunity credit 18 Coverdell ESA 40 Early distributions from IRAs 55 Student loan interest deduction 32 I Impairment-related work expenses: Work-related education deduction 65 Individual retirement arrangements (IRAs) L Lifetime learning credit 23 Academic period 24 Adjustments to qualified education expenses 25 Claiming dependent's expenses 29 Tuition reduction 29 Claiming the credit 23, 24, 31 Qualifying to claim (Figure 3-1) 26 Contrast to the American opportunity credit 72 Coordination with Coverdell ESA distributions 46 Coordination with qualified tuition program (QTP) distributions 52 Eligible educational institution 24 Eligible student 29 Expenses qualifying for 24-27 Figuring the credit 29 Income level, effect on amount of credit 30 Income limits 30 Modified adjusted gross income (MAGI) 30 Worksheet 3-1 30 Overview (Table 3-1) 23 Phaseout 30 Qualified education expenses 24, 27 Qualifying to claim (Figure 3-1) 26 Tax benefit of 22 Loans Cancellation (See Student loan cancellation) Capitalized interest on student loan 33 Origination fees on student loan 33 Qualified education expenses paid with: American opportunity credit 12 Lifetime learning credit 24 Student loan repayment assistance 38 Losses, deducting: Coverdell ESA 47 Qualified tuition program (QTP) 53 Luxury water transportation 63 M Mileage deduction for work-related education 58, 63 Military academy cadets 7 Missing children, photographs of 3 Modified adjusted gross income (MAGI) American opportunity credit 22 Coverdell ESA 41, 42 Worksheet 6-1 42 Education savings bond program 57 Lifetime learning credit 30 Worksheet 3-1 30 Student loan interest deduction 35 Table 4-2 35 N National Health Service Corps Scholarship Program 6, 8 Nonaccountable plans: Work-related education 65 P Pell grants 7, 27 Performing artists, work-related education deduction 65 Phaseout American opportunity credit 21 Education savings bond program 57 Lifetime learning credit 30 Student loan interest deduction 35, 36 Publications (See Tax help) Q Qualified education expenses Adjustments to: American opportunity credit 14-16 Coverdell ESA 45 Education savings bond program 56 Lifetime learning credit 25 Qualified tuition program (QTP) 51 Student loan interest deduction 33 Work-related education 64 American opportunity credit 13-16 Coverdell ESA 39, 40 Early distributions from IRAs 54 Education savings bond program 56 Expenses not qualified: American opportunity credit 17, 18 Lifetime learning credit 28 Lifetime learning credit 24-27 Qualified tuition program (QTP) 50 Scholarships and fellowship grants 6 Student loan interest deduction 32 Work-related education 62-64 Qualified elementary and secondary education expenses: Coverdell ESAs 40 Qualified employer plans: Student loan interest deduction not allowed 32 Qualified student loans 31, 32 Qualified tuition program (QTP) 50-54 Additional tax on taxable distributions 53 Change of designated beneficiary 54 Contributions to 51 Coordination with American opportunity and lifetime learning credits 52 Coordination with Coverdell ESA distributions 52 Defined 50 Eligible educational institution 50 Figuring taxable portion of distribution 51 Page 78 Publication 970 (2022)