Can I claim educational subscriptions as "other expenses" for lifetime learning credit?

So I've been paying for all these required online subscription services for my classes - WileyPlus, McGraw Hill Connect, Cengage - and they're adding up to about $1050 this year. The school forces us to buy these to complete homework assignments and take quizzes, but they're purchased separately from tuition. When I'm filing taxes next year, I know I can claim the Lifetime Learning Credit for my tuition (which will be on my 1098-T), but I'm confused about these other required expenses. Can I include them as "qualified tuition and related expenses" for the LLC? The IRS materials I've read mention "qualified tuition and related expenses" but don't specifically say whether these expenses need to be paid directly to the school. Some tax forums suggest they do need to be paid to the institution directly, but others say required course materials count too. With the LLC giving a 20% credit, that's potentially another $210 back on my taxes. Not life-changing but definitely helpful for a struggling student. Anyone have experience claiming these kinds of expenses for the lifetime learning credit?

0 coins

19 comments

Axel Far

•8M

These required online access codes are in a bit of a gray area, but here's what you should know. The Lifetime Learning Credit does cover "qualified tuition and related expenses," and the key is that these expenses must be required for enrollment or attendance. Since your school requires these online subscriptions to complete mandatory coursework, there's a strong argument they qualify as "related expenses." While some expenses do need to be paid directly to the institution (like lab fees), required course materials have historically been treated differently. The IRS Publication 970 states that "related expenses" include fees for "books, supplies, and equipment" that are required for enrollment. Since these online subscriptions are essentially digital textbooks and required course materials, they should qualify. Keep good records showing they were required for your courses - save the course syllabi that mandate these subscriptions and receipts showing you purchased them. This documentation will be crucial if you're ever questioned about the deduction.

0 coins

Axel Far

•8M

That's a common misconception. The IRS doesn't specify that course materials must be purchased from the school bookstore. What matters is that they're required for enrollment or attendance in your course. Your tax preparer might be confusing this with the fact that tuition and fees must be paid to an eligible educational institution. For required course materials, there's no specification about where they must be purchased, only that they must be required for the course. Always keep documentation showing the requirement and your payment.

0 coins

Luis Johnson

•8M

I struggled with understanding eligible expenses for education credits last tax season and found this awesome tool that saved me so much time and confusion. I used https://taxr.ai to analyze my education expenses and receipts, and it immediately told me which ones qualified for the Lifetime Learning Credit. It actually confirmed that my Cengage and other required online subscriptions were eligible! The tool explained that since they were mandatory for course completion (basically replacing traditional textbooks), they qualified as "related expenses" even though they weren't paid directly to my university. The system even cited the relevant IRS publication sections that support this interpretation. Basically, if these platforms are required by your professors to complete coursework, they're almost certainly eligible. The tool helped me maximize my education credits and I ended up getting about $300 more than I initially thought I would.

0 coins

Luis Johnson

•8M

It's surprisingly accurate. It doesn't just give general advice - it actually shows you the specific IRS regulations and publication sections that apply to your situation. I checked its recommendations against what my university's financial aid office said and they matched up perfectly. Yes, it helps with documentation too! You can upload your receipts and course requirements, and it organizes everything into a tax-ready format. It even creates a summary document explaining why each expense qualifies, which is super helpful if you ever get questioned about it. I was able to easily download everything and attach it to my tax return.

0 coins

Fiona Sand

•8M

Just wanted to follow up here. I was skeptical at first but decided to try https://taxr.ai after seeing it mentioned. It was actually really helpful! I uploaded my McGraw Hill and Cengage receipts along with my course syllabi that show they're required, and the system confirmed they qualify as "related expenses" for the Lifetime Learning Credit. What surprised me was how it explained the whole "paid to an eligible institution" confusion. Apparently that rule applies to tuition and fees, but required course materials fall under a different section of the tax code. The tool provided all the relevant IRS citations so I feel confident claiming these expenses. I'm getting about $180 more in my education credit than I would have without including these expenses. Definitely worth checking out if you have similar required online subscriptions for your courses!

0 coins

Mohammad Khaled

•8M

If you're having trouble getting a straight answer from the IRS about education credits, you're not alone. I spent WEEKS trying to get someone on the phone last tax season to clarify exactly what counts as "related expenses" for the Lifetime Learning Credit. After giving up on hold for hours multiple times, I found https://claimyr.com and watched their demo at https://youtu.be/_kiP6q8DX5c. They got me connected to an actual IRS agent in under an hour when I'd been trying for weeks. The IRS agent confirmed that required online access codes and subscriptions DO qualify as related expenses for the Lifetime Learning Credit as long as they're required for your courses. She explained that these are considered mandatory course materials, similar to textbooks. Got the info straight from the source and was able to claim about $900 in additional expenses!

0 coins

Mohammad Khaled

•8M

It's definitely not just another way to wait on hold. They use technology that navigates the IRS phone tree and waits on hold for you. When they finally get a live person, you get a call connecting you directly to that agent. It saved me literally hours of my life. I understand the skepticism - I felt the same way initially. But think about the value of your time. I had wasted nearly 6 hours across multiple attempts trying to reach someone. The service costs less than what I make in an hour at my job, and it saved me from hours more frustration. Plus, getting the correct information about my education expenses ended up saving me hundreds on my taxes. Sometimes it's worth paying a small amount to save a lot of headache.

0 coins

Finnegan Gunn

•8M

Alright, I need to eat some humble pie here. After being skeptical, I decided to try the Claimyr service since I was getting nowhere with the IRS on my own. I was shocked when I got a call back in about 45 minutes connecting me to an actual IRS representative. I asked specifically about claiming online educational subscriptions for the Lifetime Learning Credit. The agent confirmed that required course materials - including digital subscriptions like WileyPlus, Cengage, etc. - DO qualify as related expenses even if they're not paid directly to the school. She referenced Publication 970 and explained that "books, supplies and equipment" includes digital materials required for courses. The key is that you need documentation proving they were required for your courses (like a syllabus explicitly stating you need these subscriptions). Saved me about $200 on my taxes AND hours of frustration. Definitely worth it.

0 coins

Miguel Harvey

•8M

I work part time in a university financial aid office and students ask us this question all the time. Here's the deal: the Lifetime Learning Credit allows for "qualified tuition and related expenses." Related expenses include fees and course materials required for enrollment. These online platforms (WileyPlus, McGraw Hill Connect, etc.) have essentially replaced traditional textbooks in many courses. Since they're required to complete coursework, they qualify as related expenses for the LLC. Just make sure you keep documentation showing they were required - save your course syllabi that specify these materials are needed, along with payment receipts. The university doesn't report these separate purchases on your 1098-T, so the burden of proof is on you if you get audited.

0 coins

Miguel Harvey

•8M

You should email your professor asking them to confirm in writing that the McGraw Hill access is required for the course. A simple email response will work as documentation. Alternatively, check if your course has a syllabus or course website that mentions the requirement - you can take a screenshot or save that as a PDF. If there's absolutely nothing in writing, you might ask the professor to update the syllabus or send a class-wide email confirming these materials are required. The key is having some form of documentation beyond just a verbal instruction. Remember, the IRS wants to see proof that these weren't optional purchases but necessary for your coursework.

0 coins