Can anyone get the HOPE TAX CREDIT while attending school in GEORGIA?

Question

How can you get this credit, and does it really effect the amount you receive?

Answer 1

Yes, you can get the credit when attending school in GA as this affects your federal taxes and not your state taxes (probably). Basically here is how it works:

- In order to qualify, you have to be attending your first two years of college. If this is the case:

-Take all of your expenses from the tax year (this years expenses for next filing year); add them together.

-Take Form 8863 and fill out the first part. (If you take the Hope Credit you cannot take the Lifetime Learning Credit for the same person) It looks complex, but just read and follow the instructions and you will find out what you qualify for.

Basically, it will affect the amount that you receive UP TO the AMOUNT OWED. For example, if your tax owed (before withholdings) is $300.00 and the Hope Credit is worth $1000.00 to you and you withheld $500.00, then it will simply wipe out the $300.00 owed and get the full $500.00 back instead of only $200.00 without the credit.

In the case that the amount or your taxes is $1800.00 and you get the full $1500.00 credit and you withheld $500.00, then you will reduce the taxes from $1800.00 to $300.00 and then you will get back only $200.00. But this is much better than owing $1300.00 with out the credit!

I know it is confusing, but if you have anything to ask, please email me!

-Kevin

Answer 2

HOPE is not a tax credit. It is an actual payment toward your tuition.


You have to be a resident of Georgia with a 3.0 GPA.

I went to a Georgia high school, left with > 3.0, and received HOPE.

Basically, HOPE pays tuition at public universities, and a set amount for a private university.

If you are from out of state, but claim residency after one year, you may be able to get it. You'd want to check with a financial aid office at whatever Georgia college you're looking at..


In response to Steven - the original question is mixing up two separate concepts. There is a HOPE scholarship that is specific to Georgia.

Answer 3

intelbarn is incorrect. The Hope Credit is a tax credit. The link below is the IRS publication related to the Hope Credit. The state you are in is not a consideration.
http://www.irs.gov/publications/p970/ch02.html