Question How is the amount of an education credit determined? Answer To calculate an education credit, you must factor in: The amount of qualified tuition and related expenses you paid for each eligible student in the taxable year, and The amount of your modified adjusted gross income for the taxable year. The education tax credit amount for each eligible student is also subject to a phaseout. You must use Form 8863, Education Credits (American Opportunity and Lifetime Learning Credits) to calculate and claim an education credit. Additional Information Am I eligible to claim an education credit? Education Credits--AOTC and LLC Education Credits: Questions and Answers Instructions for Form 8863, Education Credits (American Opportunity and Lifetime Learning Credits) (PDF) Publication 970, Tax Benefits for Education Category Childcare Credit, Other Credits Sub-Category Education Credits