Tag Archives: student

Education expense deductions can be beneficial to student taxpayers or their parents, however, knowing what qualifies as an appropriate expense is important. As the taxpayers in the next situation soon learned, even if you spend significant time educating yourself in various topics, if the expense is not deemed ordinary and necessary, it will be categorized […]

Educational tax credits can help taxpayers save when they file their return if they incurred any education-related expenses during the year. However, as the student in the following situation discovered, educational tax credits are based on what you actually paid, not what was billed. The Situation In 2010, the full-time Hampton University student registered for […]

Student Loan Interest Can Be a Deduction

Once you graduate, if you opted to finance your education, you’ll be responsible for paying back any student loans. While you won’t see a direct tax break in accordance with student loan repayment, you can deduct interest that you’ve paid, up to $2,500. Student loan interest is deducted through Form 1040, on line 33. Using […]

College students are eligible for some important tax credits that can benefit you in a big way when you file your return. Whether you’re enrolled yourself, or you’re the parent of a college student, you can claim different educational deductions and credits. There are two different types of educational tax credits, and each one is […]

Tax Credits for College Expenses

If you pay for college, you likely are aware how quickly the expenses can add up. Thankfully, there are two different education tax credits which can assist in making higher education a little more affordable. American Opportunity Credit Worth up to $2,500 for each eligible student during the first four years of college, this credit […]

Paying for college is rough, especially if you’ve resorted to student loans to cover the cost of your education. It’s not all bad though, as you can deduct up to $2,500 in student loan interest at tax time. The deduction is phased out once you gross a specific annual income, though it may not matter […]

If you pay education expenses and qualified tuition for either yourself, a spouse, or another dependent, you may qualify for a deduction of your costs. You may be able to claim different deductions by using your tuition and fees instead of taking them as a direct deduction. Consider the following: The American Opportunity Tax Credit […]

It can be a great feeling to get a scholarship or grant to help fund your education. A scholarship is typically an amount paid to a student for a specific institution for study. A fellowship grant is similar, except that the money paid can be used for the purpose of study or research. There are […]

The federal government has set up education credits to help Americans who seek higher education. These credits consider “qualified higher education expenses” such as tuition and course fees. Boarding, meal, transportation, and other fees do not qualify as a credit expense. Additionally, money paid for a course which doesn’t apply credit to the degree sought […]

Who is a Qualifying Child?

Taxpayers are eligible to claim an exemption for dependents in two separate categories: qualifying child and qualifying relative. By taking a dependent exemption you can lower your taxable income by a specified amount equal to that of the exemption. For example, since the dependency exemption for 2014 is $3,950, an eligible taxpayer can deduct this […]