The New York Times – Ann Carrns
“With income tax season well underway, college students and their families should brush up on available tax benefits that can help lower their education costs. Families spend an average of $24,000 a year on college, but just over a third take advantage of federal tax credits and deductions to help make college more affordable, according to recent research from Sallie Mae. These education tax benefits, which are based on criteria including the filer’s income, can help offset the cost of tuition, fees and related costs. (Credits reduce the tax owed, while deductions reduce the amount of income on which the tax is calculated.) The benefits have varying rules and limitations, and deciding which one works best can be a challenge, said Michael Sonnenblick, a tax analyst with Thomson Reuters. But the tax savings can be meaningful, especially for families with more than one child in college, so it’s worth taking the time to see if you qualify.”(more)