Eligible colleges or other post-secondary institutions must send Form 1098-T to any student who paid “qualified educational expenses” in the preceding tax year. Qualified expenses include tuition, any fees that are required for enrollment, and course materials required for a student to be enrolled at or attend an eligible educational institution. To find out more, see the full TurboTax article.
If you paid interest on a qualified student loan, you may be able to deduct some or even all of that interest on your federal income tax return. Student loan companies use IRS Form 1098-E to report how much you paid in interest. Borrowers get a copy of this form, and so does the IRS. To learn more about who sends it and what to do if you don’t receive one, see the full TurboTax article.
Most taxpayers who pay interest on student loans can take a tax deduction for the expense—and you can do this regardless of whether you itemize tax deductions on your return. The rules for claiming the deduction are the same whether the interest payments were required or voluntary. To learn more about claiming the deduction, see the full TurboTax article.
TurboTax can help you take advantage of tax breaks to ease the financial burden of sending kids to college, including tax credits, tuition deductions, tax-free savings and more. To learn more about what is available and who is eligible, see the full TurboTax article.
The federal government offers two tax credits that reduce your tax bill on a dollar-for-dollar basis for your school-related expenses—the American Opportunity credit and the Lifetime Learning credit. To find out more, see the full TurboTax article.