Can I count my student loans towards the Hope Tax Credit for 2009?
I’m starting to get my taxes for 2009 together and am wondering if I can count the amount of my student loans towards the Hope Credit or whatever it is. Also, I assume, that I can not count my grants towards the credit?
Also, I rent a house off campus. Am I able to use the cost of rent as a deduction?

there is a new expanded credit and you can go to http://www.irs.gov and search for the Hope/Lifetime etc to see what is available for 2009
Loans you used to pay tuition during 2009 can be used for towards the education credits.
Loans you are paying down for tuition in prior years cannot be used.
You count eligible expenses paid out of pocket or WITH loans for the credit, not the amount of the loans. Any expenses paid with grants aren’t eligible. Housing costs aren’t eligible expenses.
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