From the Internal Revenue Service:
The tax code provides a variety of tax incentives for families who are saving for, or already paying, higher education costs or are repaying student loans. If you had this type of expense last year, you may qualify for either of two college education tax credits or any of several other education-related tax benefits.
In general, the American opportunity tax credit, lifetime learning credit and tuition and fees deduction are available to taxpayers who pay qualifying expenses for an eligible student. Eligible students include the primary taxpayer, the taxpayer’s spouse or a dependent of the taxpayer.
“Tax credits, deductions and savings plans can help taxpayers with the price of higher education,” said Clay Sanford, an IRS spokesman in Dallas. “Make sure you don’t overlook a potential tax advantage.”