Lori Meadows
Students have unique tax situations and benefits, and they may need to file a tax return depending on their gross income and whether they are claimed as a dependent. Even if not required to file, students may benefit from doing so to receive a refund or qualify for deductions and tax credits. TurboTax offers a free online tax filing product for simple tax situations, which includes a Form 1040 return with no additional forms or schedules, except those needed to claim certain tax credits. TurboTax also provides personalized tax solutions for college students, with guided assistance for those filing independently or as a dependent, and helps students maximize their education credits and deductions.
| Characteristics | Values |
|---|---|
| TurboTax for students | Get education credits and deductions |
| Qualifying students get over $1,000 back in education credits and deductions | |
| Free edition available for simple Form 1040 returns only (no forms or schedules except as needed to claim the Earned Income Tax Credit, Child Tax Credit, and student loan interest) | |
| Around 37% of taxpayers are eligible for the free edition | |
| TurboTax Live Assisted Basic is available at a listed price | |
| 100% Accurate Calculations Guarantee | |
| Money movement services provided by Intuit Payments Inc. | |
| Up to 5 Days Early program | |
| TurboTax provides personalized tax solutions for college students | |
| Guided assistance for students filing independently or as a dependent | |
| Help with entering important forms like Form 1098-T and 1099-Q | |
| Maximize education credits and deductions to get the biggest possible refund | |
| Students who are dependents on their parents' tax returns aren't generally eligible to claim education credits | |
| Students have special tax situations and benefits | |
| Scholarships and grants are typically tax-free, but there may be situations where they are included in taxable income | |
| Students with student loans or education costs may be eligible for deductions and credits | |
| International students: Turbotax only does US resident returns |
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What You'll Learn
Students can pay taxes with TurboTax Free Edition
TurboTax offers a student-friendly filing experience with guided assistance for students filing independently or as a dependent. They will guide you through entering important forms, like Form 1098-T and 1099-Q, and will maximize your education credits and deductions to get you the biggest possible refund. You can even file your taxes entirely from your phone with their mobile app. TurboTax will save your info automatically, so you can switch devices and pick up right where you left off.
Qualifying students can get over $1,000 back in education credits and deductions with TurboTax. Students who are dependents on their parents' tax returns aren't generally eligible to claim education credits. In this case, the student's parents may be eligible to claim the education deductions and credits. Students have special tax situations and benefits. For example, scholarships and grants are typically tax-free, but there may be situations where you have to include them in taxable income.
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Students can claim education credits and deductions
To be eligible to claim the American Opportunity Tax Credit (AOTC) or the Lifetime Learning Credit (LLC), a taxpayer (or a dependent) must have received Form 1098-T, Tuition Statement, from an eligible educational institution. An eligible student for the AOTC is a student who was enrolled at least half-time in a program leading toward a degree, certificate, or other recognized educational credential for at least one academic period during the tax year. They must not have completed the first four years of post-secondary education at the beginning of the tax year, have not claimed the AOTC for more than four years, and were not convicted of a federal or state felony drug offense at the end of the tax year.
The AOTC is a tax credit of up to $2,500 of the cost of tuition, certain required fees, and course materials needed for attendance and paid during the tax year. Unlike other education tax credits, the AOTC is allowed for expenses for course-related books, supplies, and equipment that are not necessarily paid to the educational institution but are needed for attendance. It also differs because you can claim the credit for four tax years instead of no limit on the number of years you can claim the LLC.
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Students can get a refund even if not required to file
Students can get a refund even if they are not required to file. For instance, a student who works a part-time or full-time job and has federal and state withholding shown on their Form W-2 may qualify for a refund. Filing taxes every year, even if not required, can unlock thousands of dollars in tax credits and benefits. For example, a single parent in school could receive thousands of dollars in refundable tax credits, including the AOTC, CTC, and EITC.
Students can file their taxes for free with TurboTax Free Edition if they have a simple Form 1040 return. Around 37% of taxpayers qualify for this option. The TurboTax Free Edition is available year-round on the web or app and allows students to file their taxes for free. Students can also use TurboTax Live Assisted Basic, which is not free but can be paid for with the tax refund.
Students can also receive education credits and deductions with TurboTax. Qualifying students can get over $1,000 back in education credits and deductions. Students can also claim education deductions and credits on their tax returns, such as loan interest deductions and qualified tuition programs (529 plans).
It is important to note that scholarships and grants are typically tax-free, but there may be situations where they need to be included in taxable income. Additionally, colleges and universities are required to send out 1098-T forms to students during tax season. These forms reflect tuition, fees, and course materials paid by the student. However, they rarely include instructions on how to file taxes or claim tax credits.
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Students can file taxes independently or as a dependent
Students can file their taxes independently or as a dependent. If you are a college student who isn't a tax dependent of someone else, there are potential student tax credits you can take to lower your taxable income. For instance, if you have a simple Form 1040 return only (no forms or schedules except as needed to claim the Earned Income Tax Credit, Child Tax Credit, or student loan interest), you can file for free with TurboTax Free Edition when doing your own taxes. Around 37% of taxpayers qualify for this.
On the other hand, if you are a college student who is a dependent, your parent can claim you as a dependent on their income tax return. To be claimed as a dependent, a college student must meet certain tests, including being permanently disabled, having lived with the parent for more than half of the tax year, and not providing more than half of their own support.
TurboTax also offers free one-on-one audit guidance from tax staff year-round. They will inform you of what to expect and how to prepare if you receive an audit letter from the IRS.
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Students can file taxes themselves or with a TurboTax expert
Students can file their taxes themselves or with the help of a TurboTax expert. TurboTax offers a student-friendly filing experience with guided assistance for students filing independently or as a dependent. This includes help with entering important forms, such as Form 1098-T and 1099-Q, and maximizing education credits and deductions to get the biggest possible refund.
TurboTax Free Edition is available for those filing simple Form 1040 returns with no other forms or schedules, except those needed to claim certain tax credits, such as the Earned Income Tax Credit, Child Tax Credit, and student loan interest. Around 37% of taxpayers qualify for this free option. TurboTax also offers paid versions with additional features, such as the ability to start using tax preparation tools without paying upfront and only paying when ready to file.
Students have unique tax situations and benefits, and it's important to understand how these affect their tax filings. For example, students may need to include scholarships, fellowships, or grants as taxable income, depending on their specific circumstances. They may also be eligible for various tax credits and deductions related to education expenses, such as the Lifetime Learning tax credit, loan interest deductions, and qualified tuition programs.
By using TurboTax, students can navigate these complexities and ensure they are maximizing their tax benefits and receiving the refunds they are entitled to. Whether choosing to file taxes themselves or seeking the assistance of a TurboTax expert, students can feel confident in managing their tax obligations effectively.
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Frequently asked questions
TurboTax Free Edition is available for students filing simple Form 1040 returns only (no forms or schedules except as needed to claim the Earned Income Tax Credit, Child Tax Credit and student loan interest). Around 37% of taxpayers qualify for this free option.
TurboTax offers a student-friendly filing experience with guided assistance for students filing independently or as a dependent. TurboTax will guide you through entering important forms like Form 1098-T and 1099-Q, and will maximise your education credits and deductions to get you the biggest possible refund.
Students may be eligible to claim education deductions and credits on their tax returns, such as loan interest deductions, qualified tuition programs (529 plans) and Coverdell Education Savings Accounts. Students can also benefit from tax credits like the Earned Income Tax Credit (EITC) and Child Tax Credit.
