Hope Credit and Kiddie Tax

[KBTS]

My clients have a son in college and he is subject to the kiddie tax. Parents are subject to AMT, so claiming son makes no difference on their return. By not claiming son and allowing him to take the Hope credit, it wipes out all his tax (which includes the kiddie tax portion).

I cannot find anything that says this cannot be done but it seems too good to be true. Any thoughts on this?

[Gene V]

Yes, that can be done. If the student can be claim as a dependent, but is not, he can take
the Hope credit, but cannot take (tuition and fees deduction).

[KBTS]

Thanks for the confirmation. Client will be happy about that.