tax question #2

[g222leav]

I paid $500 as a deposit to a university to hold a place for me once I was accepted, I decided to go to another university, and forfeited that $500 deposit, I asked the lady if I would recieve a tax form to claim this amount under the lifetime learning credit...she said that my copy of the check I sent would suffice...

here's my question....

1) is this $500 deposit "claim-able" meaning, can I claim it?

2) If i get a copy of the cancelled check from my bank, would that really suffice for the IRS?

thanx in advance

[WhiskeyPapa]

Claim any deduction that is even remotely possible. If, in the extremely unlikely event that you get audited, and the deduction is rejected, you'll simply have to pay the difference in taxes. Nobody goes to jail for a dumb deduction.

So my answers are:

1. Yes, claim it.
2. Cross that bridge when you come to it.

[TERRIBLETOM]

Claim any deduction that is even remotely possible. If, in the extremely unlikely event that you get audited, and the deduction is rejected, you'll simply have to pay the difference in taxes. Nobody goes to jail for a dumb deduction.

So my answers are:

1. Yes, claim it.
2. Cross that bridge when you come to it.Good advice, do get a copy of the check though.

[caribiner23]

...and take that copy of the check and file it with your copies of your 2004 return. If by some chance you do get audited (if the IRS gets really hungry and decides to chase down college students for lowering their taxable income by $500-- trust me, there will be a lot of people in line before you :) ), you'll have it to refer back to.