Updated October 18, 2026. Quick answer: Form 8863 is the form that figures and claims the American opportunity credit and the lifetime learning credit. It runs two pages and has three Parts, but you complete Part III for each student first, then Parts I and II. The student numbers usually start with Form 1098-T from the school. This page walks the form in the order you fill it in and points to the page for each group of lines.
IRS worksheets read line by line: Form 8863 Credit Limit Worksheet and Form 8863 Adjusted Qualified Education Expenses Worksheet.
Related reading on this site: IRS Publication 970.
More IRS forms and schedules, read line by line: Form 8862 claiming credits after disallowance.
What Form 8863 does
The instructions give the purpose: “Use Form 8863 to figure and claim your education credits, which are based on adjusted qualified education expenses paid to an eligible educational institution (postsecondary).” They name the two credits: “For 2025, there are two education credits.” “The American opportunity credit, part of which may be refundable.” and “The lifetime learning credit, which is nonrefundable.”
On what refundable means, the instructions say “A refundable credit can give you a refund when the credit is more than the tax you owe, even if you aren’t required to file a tax return.” They add “A nonrefundable credit can reduce your tax, but any excess isn’t refunded to you.”
Who can claim
The instructions open the topic this way: “You may be able to claim an education credit if you, your spouse, or a dependent you claim on your tax return was a student enrolled at or attending an eligible educational institution.” They also list people who cannot claim, including “Your filing status is married filing separately.” and “You’re claimed as a dependent on another person’s tax return, such as your parent’s return.”
The two credits can share a return but not a student: “You can claim both the American opportunity credit and the lifetime learning credit on the same return, but not for the same student.” The form repeats the point above line 27: “You can’t take the American opportunity credit and the lifetime learning credit for the same student in the same year.” The school statement behind the expense numbers is explained on the Form 1098-T page.
The order you fill it in
The caution at the top of the form says “Complete a separate Part III on page 2 for each student for whom you’re claiming either credit before you complete Parts I and II.” So the work runs from page 2 back to page 1. The table below lists the Parts in the order they print, with the page that covers each group of lines.
| Part | Lines | Topic | Page |
|---|---|---|---|
| Part I: “Refundable American Opportunity Credit” | 1 to 8 | Total credit before the income phase-out, then the refundable part | Lines 1 to 8 page |
| Part II: “Nonrefundable Education Credits” | 9 to 19 | The lifetime learning credit and the nonrefundable credit limit | Lines 9 to 19 page |
| Part III: “Student and Educational Institution Information” | 20 to 22 | Student name, student social security number and school details | Lines 20 to 22 page |
| Part III | 23 to 26 | Questions that decide American opportunity credit eligibility | Lines 23 to 26 page |
| Part III | 27 to 30 | American opportunity credit expenses | Lines 27 to 30 page |
| Part III | 31 | Lifetime learning credit expenses | Line 31 page |
| Whole form | 1 to 31 | This overview | Form 8863 overview |
Where the numbers come from
The student’s expenses come from the school, usually on Form 1098-T, and from your own payment records. The income figure comes from your Form 1040. The form’s caption for the income lines says “Enter the amount from Form 1040 or 1040-SR, line 11b.” The return it rides on is explained on the Form 1040 page.
Where it goes next
Two lines carry results off the form. On line 8 the form says “Enter the amount here and on Form 1040 or 1040-SR, line 29.” That credit is explained on the Form 1040 lines 29 to 31 page. On line 19 the form says “here and on Schedule 3 (Form 1040), line 3”. That credit is explained on the Schedule 3 line 3 page.
Edition and line numbers
This page reads the 2025 Form 8863 (Education Credits) and its 2025 instructions, the current files irs.gov served on 2026-10-18. They are the files for the tax year 2025 return, filed in 2026. The form says “Attach to Form 1040 or 1040-SR.” Check the tax year printed on the form you are filling in and use the line numbers on that year’s form, because a different year’s form can number or word its lines differently.
Common mistakes
- Starting on line 1 before the students are done. The form says “Complete a separate Part III on page 2 for each student for whom you’re claiming either credit before you complete Parts I and II.”
- Claiming both credits for one student. The instructions say “You can claim both the American opportunity credit and the lifetime learning credit on the same return, but not for the same student.”
- Filing the form while married filing separately. The instructions list “Your filing status is married filing separately.” among the cases where you cannot claim a credit.
Related: Form 1098-T, Form 1040, Form 1040 lines 29 to 31, and Schedule 3 line 3.
Sources
- Instructions for Form 8863, Education Credits (2025): https://www.irs.gov/pub/irs-pdf/i8863.pdf
- Form 8863, Education Credits (American Opportunity and Lifetime Learning Credits) (2025): https://www.irs.gov/pub/irs-pdf/f8863.pdf
Read from the IRS documents linked above on October 18, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer, the account provider or the IRS is the right place to confirm anything consequential.