The Federal Tax Credits Blog

Archive for the ‘Education Tax Credits’ Category

Question: Will The People of Low Middle Class Who Do Not Itemize Their Taxes Benefit From Barack Obama Stim Tax Credits?

Stimulus TAX Crediits.
New Auto? … New Home? … College Education? AMT? ….

Answer: Yes, they made it clearly that you do not need to itemize to get these tax credits.

Home Prices in 20 U.S. Cities Rose for Fifth Month (Update3)

Dec. 29 (Bloomberg) — Home prices in 20 U.S. cities rose in October for a fifth consecutive month, putting the housing market and economy farther along the path to recovery.

Obama’s Radio Address 01-24-09

Question: Taxes- Can I write off moving expenses for college?

I moved from WI to CA to attend graduate school, but I also started a new job a month after I moved as well. Can I write off or deduct the costs associated with the move under tuition, costs, etc for the Lifetime learning credit?

Answer: yes you sure can www.irs.gov

Lawyer kept license 2 months after rape plea

Newport Beach first amendment lawyer Paul E. Fisher was first charged with raping a severely drunk teenage girl in 2007, and he pleaded guilty to the assault in October. But Fisher’s law license remained intact until this past Sunday — more than…

How Andrew Jackson University Makes College Affordable

Question: As a grandparent, can I open an education savings account for my grandson and take the tax credit/deduction?

I am not sure whether this is a credit or a deduction for income tax. Is this available only to parents?

Answer: 529 plans are usually a good idea and the investment earnings grow free of tax. Some states have credits/deductions for these plans but there are no credits or deductions on your federal return.
May you open the account for a grandchild? Yes. Is it a good idea? Usually. Is it a nice thing to do and does it help the child? Absolutely. Do you get a federal tax break other than tax free growth? Nope.

Decade-long vision for Iowa met some goals, others are works in progress

DES MOINES — Architects of a decade-long vision for Iowa say some goals were met and exceeded while others remain works in progress as 2010 arrives.

Find out about a tax free savings account for education!

Question: Is it possible to claim credits for previous tax years?

My parents never claimed my tuition expenses on their taxes for the last four years that I attended college. I looked on the IRS website, and found that they could have claimed my tuition payments and received either the lifetime learning credit or the Hope Credit during those years. I am interested in knowing whether they can somehow file a claim for those four years of tuition that I paid (and hopefully I can get some of that money from them). I am planning on claiming the lifetime credit myself for 2006. If anybody knows how to claim for previous years, if it is possible, your help would be greatly appreciated. Thank you.

Answer: To add to Crystal’s reply:

1.You have until April 15th to amend 2003’s return. (3 years from the original due date)

2. The best way to figure out your qualified educational expenses for the years in question is to have the 1098-T your school issued for that particular tax year. If you don’t have them, then you may call the IRS at 1-800-829-1040 and ask that they send them to you.

3. You may find that taking the Lifetime Learning Credit for all three years will be of more benefit than the Hope Credit if your qualified educational expenses were high enough.

4. Be sure to use the right F 8863 for each year you are amending. Previous year forms can be downloaded from http://www.irs.gov.

5. Be sure you’re up on all the rules and you really do qualify. See the link to Pub 970 below.

The Top 10 of ‘09

Change seems to be the common denominator for McPherson for 2009. Two colleges changed president, the city changed administrators and the K-61 highway began its massive change of course.

Tax Forms & Deductions : How Does Tuition Tax Credit Work?

Question: Education credits for 2009 for a student who graduated their fifth year?

I graduated from High School in 2004 but just graduated from college this year. Are there any credits I can file on my taxes? I got the education credit last year and the year before but from what I’ve read it’s only for the first four years of post-secondary education. Any help?

Answer: The American Opportunity Credit is an extension of the Hope Credit. The AOC can be taken four times, whereas the Hope Credit could only be taken two times.

If on 1/1/2009 you were classified as an undergraduate, and you had not completed four years of full-time undergraduate credits as defined by your institution, then you may qualify for the AOC. You also have to be attending at least half-time and not have a felony drug conviction.

The AOC is probably going to be more valuable to you than the Lifetime Learning Credit. If you do not qualify for the AOC because you were a less than half-time, you can still get the LLC.

Relatively few new laws approved for Mich. in 2009

A flurry of legislation passed just before adjourning for 2009 saved the Michigan Legislature from its lowest total of new laws enacted in any year this decade. Michigan likely will wind up with roughly 240 new public acts from 2009, higher only than the 221… Michigan Legislature – Michigan – Legislation – United States – Law

American Recovery & Reinvestment Act Survey | ARRA Survey | Liberty Tax Service