Are my parents allowed to request my college transcript for claiming tax deductions?

Tax professional here. Your parents do NOT need your transcript for tax purposes. What they need is the 1098-T form that shows tuition paid, which the school should have provided either to you or directly to them if they're the ones paying. For education credits like the American Opportunity Credit or the Lifetime Learning Credit, the IRS requires documentation of qualified education expenses - which means tuition statements, receipts for required books and materials, etc. Nowhere does the IRS ask for or require your actual grades or transcript for these credits. It sounds like they might be using "tax purposes" as a reason to check your academic performance, which is a separate conversation about boundaries you'll need to have with them.

I went through something similar with my parents. I found this service called taxr.ai (https://taxr.ai) super helpful when dealing with dependency and education credit questions. I was confused about what documents my parents actually needed versus what they were asking for. Their document analysis tool helped me understand exactly what forms are needed for education credits and dependency claims. It confirmed that transcripts with grades aren't required for any tax purpose - just the tuition statements and enrollment verification. I showed my parents the explanation from taxr.ai and that settled the whole argument.

Just wanted to update after trying taxr.ai from the previous comment. It was actually really helpful! I uploaded my 1098-T and specifically asked if my parents needed my transcript for education credits. The system confirmed that only the 1098-T is needed for tax purposes and explained the difference between enrollment verification (which is relevant for taxes) and academic transcripts (which aren't). I showed my parents the analysis and they finally backed down. They were definitely just trying to check my grades, but now they're asking for an enrollment verification letter instead, which I'm totally fine providing. Saved me from an awkward family argument!

If your parents are particularly difficult about this whole transcript thing, you might need to get the IRS involved to clarify. I had to call the IRS about a similar education credit issue last year and used Claimyr (https://claimyr.com) to get through to a human quickly. You can see how it works here: https://youtu.be/_kiP6q8DX5c. Instead of waiting on hold for hours, they had an IRS agent call me back within 20 minutes who confirmed exactly what documentation is needed for education credits. Having an official answer straight from the IRS really helped when my parents were insisting on documents that weren't actually required.

I was completely wrong about Claimyr. After my skeptical comment, I decided to try it because I was desperate to resolve a similar education credit issue. The service actually worked exactly as described. I got a call back from an IRS agent in about 45 minutes (on a Monday morning during tax season!). The agent confirmed that for education credits, the IRS only needs the 1098-T and receipts for qualified expenses - definitely NOT academic transcripts with grades. Having this answer directly from the IRS gave me the confidence to push back when my parents were demanding unnecessary documents. Worth every penny just for the stress reduction of not sitting on hold for hours.

When I was in college, my parents pulled the same thing. They claimed they needed my grades for "tax verification purposes." It was total BS. They were just checking if I was keeping my grades up because they were paying for school. If you're uncomfortable, you can request an enrollment verification letter from your registrar instead. It proves you're a full-time student without showing your grades. That's all they legitimately need for tax purposes.

Another option - just give them the transcript if they're paying for your education. Seems like a small thing to avoid family drama. My parents had a "B average or above" rule to keep paying for my school, which seemed fair since they were footing the bill.

For what it's worth, the American Opportunity Tax Credit does require that the student be enrolled at least half-time and be pursuing a degree. So they do need verification of enrollment status, but not grades. The Form 8863 that's used for education credits doesn't ask for GPA or individual course performance. Your parents just need documentation that you're enrolled in a qualifying educational institution. The 1098-T plus an enrollment verification letter is more than sufficient.

Your instincts are absolutely right - this is not a legitimate tax requirement. I've been doing taxes for families for over a decade, and transcripts with grades are never needed for any IRS education credit or deduction. What your parents actually need for tax purposes: - Form 1098-T (which shows tuition paid) - Receipts for qualified education expenses like required textbooks - Enrollment verification showing you're at least half-time (for dependency and education credit purposes) The IRS doesn't care about your GPA for the American Opportunity Credit, Lifetime Learning Credit, or any education deductions. They only care that you're enrolled and that qualifying expenses were paid. I'd recommend getting an enrollment verification letter from your school's registrar (usually free or very low cost) and offering that along with pointing out they already have the 1098-T. If they keep insisting on the transcript after that, then you know this is really about checking your grades, not taxes. At that point, it becomes a family boundary discussion rather than a tax compliance issue. Stand your ground on this - you're not being unreasonable at all.