LLC (Lifetime Learning Credit)
A non-refundable tax credit of up to $2,000 per tax return for qualified tuition and education expenses.
The Lifetime Learning Credit (LLC) provides up to $2,000 per tax return (not per student) for qualified tuition and related expenses. It equals 20% of the first $10,000 in qualified expenses. Unlike the AOTC, there is no limit on the number of years you can claim it, and the student does not need to be pursuing a degree or be enrolled half-time. The credit is non-refundable. It phases out for single filers with MAGI between $80,000 and $90,000 ($160,000 to $180,000 for married filing jointly) — these thresholds are fixed by statute and not inflation-indexed. Married filing separately filers cannot claim the LLC at all, the same restriction that applies to the AOTC.
Related Terms
Education Credits
Tax credits for higher education expenses. The American Opportunity Credit is worth up to $2,500 per student for the first four years; the Lifetime Learning Credit is up to $2,000 per return.
AOTC (American Opportunity Tax Credit)
A tax credit of up to $2,500 per eligible student for qualified education expenses during the first four years of post-secondary education.
Adjusted Gross Income (AGI)
Your gross income minus specific adjustments such as student loan interest, IRA contributions, and self-employment tax. AGI is the starting point for calculating your taxable income.
Filing Status
Your tax classification based on marital and family situation — Single, Married Filing Jointly, Married Filing Separately, Head of Household, or Qualifying Surviving Spouse.