If you are eligible to deduct educational expenses and are also eligible for the lifetime learning credit, then it is possible to claim both, as long as you do NOT use the SAME educational expenses to claim both benefits. Your expenses must be divided between the two. This is sometimes desirable because a qualifying expense for one benefit may not be a qualifying expense for the other tax benefit. For more information, refer to Publication 970, Tax Benefits for Education; Chapter 3, Form 8863 (PDF), Education Credits (Hope and Lifetime Learning Credits); and Tax Topic 513, Educational Expenses.

References:

• Publication 970, Tax Benefits for Education
• Tax Topic 513, Educational Expenses
• Form 8863 (PDF), Education Credits (Hope and Lifetime Learning Credits)

Source: www.irs.gov