Education Tax Incentives

American Opportunity Credit (AOC)

The American Opportunity Credit (AOC), is available for qualified tuition and related expenses:

 

  • The maximum amount of the AOC is $2,500 per student.
  • In 2015 the credit is phased out if your modified adjusted gross income (MAGI) is between $80,000 and $90,000 for single filers ($160,000 and $180,000, if you file a joint return). The phase out is the same in 2014.
  • Generally, 40% of the AOC is now a refundable credit for most taxpayers, which means that you can receive up to $1,000 even if you owe no taxes
  • The term 'qualified tuition and related expenses' includes expenditures for 'course materials'. For this purpose, the term 'course materials' means books, supplies, and equipment needed for a course of study whether or not the materials must be purchased from the educational institution as a condition of enrollment or attendance
Share Article:
Add to GooglePlus

*Non-deposit investment products and services are offered through CUSO Financial Services, L.P. ("CFS"), a Registered Broker-dealer (Member FINRA/SIPC) and SEC-registered Investment Advisor. Products offered through CFS: are not NCUA/NCUSIF or otherwise federally insured, are not guarantees or obligations of the credit union, and may involve investment risk including possible loss of principal. Investment Representatives are registered through CFS. General Electric Credit Union has contracted with CFS to make non-deposit investment products and services available to credit union members.

Back to Top