No Deductions Allowed by Dependents

• If someone can claim you as a dependent, you cannot claim any income tax write-offs, neither deductions nor credits. The IRS does not permit you to claim a write-off even if you are not eventually claimed as a dependent as long as someone could claim you. For example, if your parents are still entitled to claim you as a dependent but elect to allow you to file as an independent for whatever reason, you could not claim any deductions for your college costs.
  
  

Requirements for Any Dependent Child College Deduction

• If you have a child whom you claim as a dependent, you may claim certain college costs as a write-off on your income taxes. In addition to claiming the child as your dependent, you must also file as either single or married filing jointly. If you file as married filing separately, you are ineligible. You must also pay the expenses of the dependent. You can include amounts that you pay with loans that you take out, but you cannot claim costs paid for via scholarships or other tax-free aid.
  
  

College Costs That Qualify

• Only mandatory costs of attendance may be included as part of your tax write-off. This typically includes tuition and required fees. Common costs you cannot include in your write-off are room, board and other non-mandatory costs such as books. If the school forces you to purchase the items from the school, rather than allowing you the option of purchasing them elsewhere, you can include those costs. However, if the school allows you the option of purchasing supplies anywhere, such as textbooks, you cannot include those costs even if you make the purchase through the school store.
  
  

Write-off Options

• The IRS offers a range of tax write-offs for qualifying expenses for your dependent child's college, but you can only claim one each year. The tuition and fees deduction allows you to write-off up to $4,000. The American Opportunity Credit allows you to claim a tax credit of up to $2,500 -- the first $2,000 of qualified expenses and 25 percent of the next $2,000. This credit can only be claimed for the first four years of your dependent's post-secondary education. The Lifetime Learning Credit allows you to claim a credit of up $2,000 -- 20 percent of up to $10,000 of credit.