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Hope Scholarship Credit

[HOHP SKAH-lur-ship KRED-it]

What is the definition of Hope Scholarship Credit?
A tax credit available for the first two years of post-secondary education, providing a maximum credit of $1,500 per student per year, contingent upon meeting specific eligibility requirements.
Using Hope Scholarship Credit in an Example

The Hope Scholarship Credit allows a family to reduce their federal tax liability by up to $1,500 per student for expenses related to the first two years of college, such as tuition and fees.

Using Hope Scholarship Credit in a sentence

When preparing their tax returns, the Johnsons were able to claim the Hope Scholarship Credit for their daughter's first year of university, which significantly lowered their overall tax bill.

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