PROVIDENCE – Tax-deductible education expenses can help offset the financial stress of college costs,
and with students preparing to return to school, it’s important to be aware of tax information relevant to both primary and secondary school, according to Loree Dubois, tax principal of Kahn, Litwin, Renza & Co., who is based in the firm’s Providence office.
Among the tax tips in Dubois’ KLR Tax Blog posted on Aug. 4 are that the tuition and fees deduction can be claimed for an innumerable amount of years. It applies to qualified education expenses for an eligible student’s higher education, which is for at least a half-time undergraduate or graduate. The deduction is subject to income phase-out rules.
For students or guardians paying interest on an educational loan, there is a student loan interest deduction of up to $2,500, which is reduced or phased out once a taxpayer’s income is over a certain range.
Expenses that are not tax-deductible include private school tuition, college moving costs and the cost of school uniforms, even if they are required, said Dubois.
Additional tax-deduction information on educational expenses is available from Dubois’ “Back to School Tax Tips” blog at www.kahnlitwin.com