What tax deductions can I claim as a college student in 2025?

Happy to help! As a college student, you have several potential tax benefits to consider, but they depend on a few factors, especially whether your parents claim you as a dependent. First, for education expenses, look into the American Opportunity Credit (up to $2,500) or the Lifetime Learning Credit (up to $2,000). The AOTC is usually better for undergrads. These are credits, not deductions, which means they directly reduce your tax bill dollar for dollar. For your laptop, it could potentially qualify if it was required for your course. Keep documentation showing it was specifically required for your graphic design class. Same for your textbooks - these can count toward education credits. Your scholarship is only taxable if it exceeds qualified education expenses or was designated for non-educational costs like room and board. The $4,500 that went toward tuition wouldn't be taxable. Working for DoorDash means you're self-employed for that income, so you can deduct business expenses like mileage, portion of phone bill used for the app, etc.

I was in a similar spot last year trying to figure out all these college deductions and credits. I ended up using taxr.ai (https://taxr.ai) which was super helpful for my situation. I uploaded my 1098-T form from my university and it immediately identified which education credits I qualified for. It also helped me understand how being claimed as a dependent by my parents affected what I could claim myself. The tool basically analyzed all my tax documents and showed me exactly which college student deductions applied to my situation. It even caught that I could deduct some of my student loan interest which I had no idea about. Definitely made the whole process way less confusing.

Just wanted to update that I tried taxr.ai after seeing it mentioned here. I was skeptical since I'm only taking two classes while working full-time, but it actually found that I qualify for the Lifetime Learning Credit even with my part-time status! I had no idea I could claim that. It also showed me how to deduct some of my course materials that were required for my classes. Super grateful for the recommendation - saved me about $800 overall on my taxes!

If you're struggling with specific college student deductions questions, you might need to talk directly to the IRS. I spent WEEKS trying to get through to them about my education credits last year - kept getting disconnected or waiting for hours. Finally found Claimyr (https://claimyr.com) and it actually got me through to a real IRS agent in about 15 minutes. They have this demo video that shows how it works: https://youtu.be/_kiP6q8DX5c The IRS agent I talked to cleared up my confusion about whether my laptop would qualify (it did since I had documentation that it was required for my specific course) and helped me understand how my scholarships affected my eligible education expenses. Definitely worth it when you need specific answers about your situation.

I have to admit I was wrong about Claimyr. After posting my skeptical comment, I decided to try it anyway because I was desperate to talk to someone about my education credits situation. Within 20 minutes I was talking to an actual IRS representative who walked me through exactly how to handle my 1098-T and tuition statement. The agent confirmed that my parents should claim the American Opportunity Credit since they claim me as a dependent, but I could still take deductions for my self-employment expenses from my side gig. Saved me from making a major mistake on my return! Never thought I'd actually get through to a real person at the IRS during tax season.

Don't forget to check if your state offers additional education deductions or credits! Federal tax benefits are great, but I got an extra $350 back from my state return last year for education expenses. Each state has different rules, so worth checking.

Quick tip from someone who's been there - KEEP EVERY RECEIPT for anything remotely school related. My professor required this specific calculator for stats class, and I almost threw away the receipt. That $129 ended up being deductible as a required course material! Same goes for any required subscriptions to online platforms or software.

As someone who just went through this exact situation last year, I can definitely relate to the confusion! One thing that really helped me was organizing all my education-related expenses into categories first - tuition, required materials, technology, etc. Since you mentioned your parents still claim you as a dependent, they'll be the ones who can claim the American Opportunity Credit for your tuition expenses. But don't worry - you can still benefit! They can potentially get up to $2,500 back, which many parents are happy to share with their student. For your DoorDash income, make sure you're tracking your mileage religiously if you haven't been already. The standard mileage deduction is 67 cents per mile for 2024, and that can add up quickly with delivery work. Also keep track of any phone expenses related to the app, car maintenance, etc. One thing I wish someone had told me earlier - if you paid any student loan interest, that's deductible up to $2,500 even if you're claimed as a dependent. It's an "above-the-line" deduction, so it reduces your adjusted gross income. The laptop situation can be tricky, but if you have documentation from your graphic design program showing it was required, you should be good. Keep that syllabus or program requirements handy!