Section 1.25A-0 - Table of contentsThis section lists captions contained in §§ 1.25A-1 , 1.25A-2 , 1.25A-3 , 1.25A-4 , and 1.25A-5 .
§ 1.25A-1 Calculation of Education Tax Credit and General Eligibility Requirements (a) Amount of education tax credit.(b) Coordination of Hope Scholarship Credit and Lifetime Learning Credit. (2) Hope Scholarship Credit.(3) Lifetime Learning Credit.(c) Limitation based on modified adjusted gross income.(2) Modified adjusted gross income defined.(3) Inflation adjustment.(e) Identification requirement.(f) Claiming the credit in the case of a dependent.(h) Nonresident alien taxpayers and dependents.§ 1.25A-2 Definitions(b) Eligible educational institution. (2) Rules on Federal financial aid programs.(d) Qualified tuition and related expenses.(2) Required fees. (ii) Books, supplies, and equipment.(4) Treatment of a comprehensive or bundled fee.§ 1.25A-3 Hope Scholarship Credit (a) Amount of the credit. (c) Credit allowed for only two taxable years.(d) Eligible student. (1) Eligible student defined. (ii) Work load requirement.(iii) Year of study requirement.(iv) No felony drug conviction.(e) Academic period for prepayments. § 1.25A-4 Lifetime Learning Credit (a) Amount of the credit. (1) Taxable years beginning before January 1, 2003.(2) Taxable years beginning after December 31, 2002.(3) Coordination with the Hope Scholarship Credit.(b) Credit allowed for unlimited number of taxable years.(c) Both degree and nondegree courses are eligible for the credit. § 1.25A-5 Special Rules Relating to Characterization and Timing of Payments(a) Educational expenses paid by claimed dependent.(b) Educational expenses paid by a third party.(2) Special rule for tuition reduction included in gross income of employee.(c) Adjustment to qualified tuition and related expenses for certain excludable educational assistance. (2) No adjustment for excludable educational assistance attributable to expenses paid in a prior year.(3) Scholarships and fellowship grants.(e) Timing rules. (3) Expenses paid with loan proceeds.(4) Expenses paid through third party installment payment plans.(f) Refund of qualified tuition and related expenses.(1) Payment and refund of qualified tuition and related expenses in the same taxable year.(2) Payment of qualified tuition and related expenses in one taxable year and refund in subsequent taxable year before return filed for prior taxable year.(3) Payment of qualified tuition and related expenses in one taxable year and refund in subsequent taxable year. (4) Refund of loan proceeds treated as refund of qualified tuition and related expenses.(5) Excludable educational assistance received in a subsequent taxable year treated as a refund.T.D. 9034, 67 FR 78691 , Dec. 26, 2002