Publication 970 (2005), Tax Benefits for Education

Symbols

529 program (see Qualified tuition program (QTP))

A

Academic period:

Hope credit, Academic period.
Lifetime learning credit, Academic period.
Student loan interest deduction, Academic period.
Tuition and fees deduction, Academic period.

Accountable plans, Accountable Plans

Additional tax:

Coverdell ESA:

On excess contributions, Additional Tax on Excess Contributions
On taxable distributions, Additional Tax on Taxable Distributions

Qualified tuition program (QTP), on taxable distributions, Additional Tax on Taxable Distributions

Adjusted qualified education expenses (see Qualified education expenses)

Armed Forces Health Professions Scholarship and Financial Assistance Program, Exceptions.

Assistance (see Tax help)

Athletic scholarships, Athletic Scholarships

B

Bar review course, Bar or CPA Review Course

Bonds, education savings (see Education savings bond program)

Business deduction for work-related education, What's New, Business Deduction for Work-Related Education,

Business deduction for work-related education:

Accountable plans, Accountable Plans
Adjustments to qualifying work-related education expenses, Adjustments to Qualifying Work-Related Education Expenses
Allocating meal reimbursements, Allocating your reimbursements for meals.
Deductible education expenses, What Expenses Can Be Deducted
Deducting business expenses, Deducting Business Expenses
Double benefit not allowed, No Double Benefit Allowed
Education required by employer or by law, Education Required by Employer or by Law
Education to maintain or improve skills, Education To Maintain or Improve Skills
Education to meet minimum requirements, Education To Meet Minimum Requirements
Education to qualify for new trade or business, Education That Qualifies You for a New Trade or Business
Excess expenses, accountable plan, Excess expenses.
Indefinite absence, Indefinite absence.
Maintaining skills vs. qualifying for new job, Maintaining skills vs. qualifying for new job.
Nonaccountable plans, Nonaccountable Plans
Nondeductible expenses, Nondeductible expenses.
Qualified education expenses, What Expenses Can Be Deducted
Recordkeeping requirements, Recordkeeping, Examples of records to keep.
Reimbursements, treatment of, How To Treat Reimbursements
Tax benefit of, What is the tax benefit of taking a business deduction for work-related education.
Tax-free educational assistance, Tax-free educational assistance.
Teachers, Requirements for Teachers, Teaching and Related Duties
Temporary absence to acquire education, Temporary absence.
Transportation expenses, Transportation Expenses, Using your car.
Travel expenses, Travel Expenses

C

Cancellation of student loan (see Student loan cancellation)

Candidate for a degree:

Scholarships and fellowships, Candidate for a degree.

Change of designated beneficiary:

Coverdell ESA, Changing the Designated Beneficiary
Qualified tuition program, Changing the Designated Beneficiary

Collapsed loans, Interest on refinanced student loans.

Comments on publication, Comments and suggestions.

Comprehensive or bundled fees:

Hope credit, Comprehensive or bundled fees.
Lifetime learning credit, Comprehensive or bundled fees.
Tuition and fees deduction, Comprehensive or bundled fees.

Consolidated loans used to refinance student loans, Interest on refinanced student loans.

Conventions outside U.S., Cruises and conventions.

Coverdell education savings account (ESA), Coverdell Education Savings Account (ESA), How To Figure the Taxable Earnings

Coverdell education savings account (ESA):

Additional tax:

On excess contributions, Additional Tax on Excess Contributions
On taxable distributions, Additional Tax on Taxable Distributions

Assets to be distributed at age 30 or death of beneficiary, When Assets Must Be Distributed

Contribution limits, Contribution Limits

Contribution limits:

Figuring the limit (Worksheet 7-2), Figuring the limit.

Contributions to, Contributions

Contributions to:

Table 7-2, When contributions considered made.

Coordination with Hope and lifetime learning credits, Figuring the Taxable Portion of a Distribution, Coordination With Hope and Lifetime Learning Credits

Coordination with qualified tuition program (QTP), Coordination With Qualified Tuition Program (QTP) Distributions

Defined, What Is a Coverdell ESA

Distributions, Distributions, How To Figure the Taxable Earnings

Distributions:

Overview (Table 7-3),

Divorce, transfer due to, Transfer Because of Divorce

Eligible educational institution, Eligible Educational Institution

Figuring taxable portion of distribution, Figuring the Taxable Portion of a Distribution

Figuring taxable portion of distribution:

Worksheet 7-3,

Figuring the taxable earnings in required distribution, How To Figure the Taxable Earnings

Losses, Losses on Coverdell ESA Investments

Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI).

Modified adjusted gross income (MAGI):

Worksheet 7-1,

Overview (Table 7-1), What is the tax benefit of the Coverdell ESA., What Is a Coverdell ESA

Qualified education expenses, Qualified Education Expenses

Rollovers, Rollovers

Tax benefit of, What is the tax benefit of the Coverdell ESA.

Tax-free distributions, Tax-Free Distributions

Taxable distributions, Taxable Distributions

Taxable distributions:

Worksheet 7-3 to figure,

Transfers, Rollovers

CPA review course, Bar or CPA Review Course

Credits

Hope (see Hope credit)
Lifetime learning (see Lifetime learning credit)

Cruises, educational, Cruises and conventions.

D

Deductions (see Business deduction for work-related education)

Designated beneficiary:

Coverdell ESA, What Is a Coverdell ESA, Changing the Designated Beneficiary
Qualified tuition program (QTP), Designated beneficiary., Changing the Designated Beneficiary

Disabilities, persons with:

Impairment-related work expenses, Impairment-Related Work Expenses

Distributions (see specific benefit)

Divorce:

Coverdell ESA transfer due to, Transfer Because of Divorce

Expenses paid under decree:

Hope credit, Expenses paid by dependent.
Lifetime learning credit, Expenses paid by dependent.
Tuition and fees deduction, Expenses paid under divorce decree.

Double benefit not allowed:

Hope credit, No Double Benefit Allowed
Lifetime learning credit, No Double Benefit Allowed
Student loan interest deduction, No Double Benefit Allowed
Tuition and fees deduction, No Double Benefit Allowed
Work-related education, No Double Benefit Allowed

E

Early distributions from IRAs, Education Exception to Additional Tax on Early IRA Distributions, Reporting Early Distributions

Early distributions from IRAs:

Eligible educational institution, Eligible educational institution.
Figuring amount not subject to 10% tax, Figuring the Amount Not Subject to the 10% Tax
Qualified education expenses, Qualified education expenses.
Reporting, Reporting Early Distributions

Education IRA (see Coverdell education savings account (ESA))

Education loans (see Student loan cancellation) (see Student loan repayment assistance)

Education savings account (see Coverdell education savings account (ESA))

Education savings bond program, What's New, Education Savings Bond Program,

Education savings bond program:

Cashing in bonds tax free, Who Can Cash In Bonds Tax Free
Claiming dependent's exemption, Dependent for whom you claim an exemption.
Claiming exclusion, Claiming the Exclusion
Eligible educational institution, Eligible educational institution.
Figuring tax-free amount, Figuring the Tax-Free Amount
Income level, effect on amount of exclusion, Effect of the Amount of Your Income on the Amount of Your Exclusion
Income limits for exclusion reduction, What's New
Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI)., Who Can Cash In Bonds Tax Free
Phaseout, Effect of the Amount of Your Income on the Amount of Your Exclusion
Qualified education expenses, Qualified education expenses.

Educational assistance, employer-provided (see Employer-provided educational assistance)

Eligible educational institution:

Cancellation of student loan, Eligible educational institution.
Coverdell ESA, Eligible Educational Institution
Early distributions from IRAs, Eligible educational institution.
Education savings bond program, Eligible educational institution.
Hope credit, Eligible educational institution.
Lifetime learning credit, Eligible educational institution.
Qualified tuition program (QTP), Eligible educational institution.
Scholarships and fellowships, Eligible educational institution.
Student loan cancellation, Eligible educational institution.
Student loan interest deduction, Eligible educational institution.
Tuition and fees deduction, Eligible educational institution.

Eligible elementary or secondary school:

Coverdell ESA, Eligible elementary or secondary school.

Eligible student:

Hope credit, Who Is an Eligible Student
Lifetime learning credit, Who Is an Eligible Student
Student loan interest deduction, Eligible student.
Tuition and fees deduction, Who Is an Eligible Student

Employees:

Deducting work-related education expenses, Employees

Employer-provided educational assistance, Employer-Provided Educational Assistance, Working condition fringe benefit.

ESAs (see Coverdell education savings account (ESA))

Estimated tax, Reminders

Excess contributions:

Coverdell ESA, Additional Tax on Excess Contributions

Excess expenses, accountable plan, Excess expenses.

Expenses (see specific benefit)

F

Family members, beneficiary:

Coverdell ESA, Members of the beneficiary's family.
Qualified tuition program (QTP), Members of the beneficiary's family.

Fee-basis officials, work-related education deduction, Performing Artists and Fee-Basis Officials

Fellowships (see Scholarships and fellowships)

Figures (see Tables and figures)

Financial aid (see Scholarships and fellowships)

Form 1098-E:

Student loan interest deduction, Loan origination fee., Form 1098-E.

Form 1098-T:

Hope credit, Form 1098-T.
Lifetime learning credit, Form 1098-T.
Tuition and fees deduction, Form 1098-T.

Form 1099-Q:

Coverdell ESA, Exceptions., Earnings and basis.
Qualified tuition program (QTP), Earnings and return of investment.

Form 1099-R:

Early distributions from IRAs, Reporting Early Distributions

Form 2106, 50% limit on meals., Form 2106 or 2106-EZ.

Form 2106-EZ, 50% limit on meals., Form 2106 or 2106-EZ., Using Form 2106-EZ.

Form 2106-EZ:

Filled-in example,

Form 5329:

Coverdell ESA, Figuring the additional tax.
Early distributions from IRAs, Reporting Early Distributions
Qualified tuition program (QTP), Figuring the additional tax.

Form 8815, MAGI when using Form 1040., Claiming the Exclusion

Form 8815:

Filled-in example,

Form 8863:

Filled-in examples, , ,
Hope credit, Illustrated Example
Lifetime learning credit, Illustrated Example

Form W-9S, Form 1098-T., Form 1098-T., Form 1098-E., Form 1098-T.

Free tax services, How To Get Tax Help

Fulbright grants, Fulbright Grants

G

Glossary, Glossary., Glossary, Transfer:

Graduate education tuition reduction, Graduate education.

Grants:

Fulbright, Fulbright Grants
Pell, Pell Grants and Other Title IV Need-Based Education Grants
Title IV need-based education, Pell Grants and Other Title IV Need-Based Education Grants

H

Half-time student:

Coverdell ESA, Half-time student.
Early distributions from IRAs, Half-time student.
Hope credit, Enrolled at least half-time.
Student loan interest deduction, Enrolled at least half-time.

Help (see Tax help)

Hope credit, What's New, What's New,

Hope credit:

Academic period, Academic period.

Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses

Claiming dependent's expenses, Who Can Claim a Dependent's Expenses, Tuition reduction.

Claiming dependent's expenses:

Tuition reduction, Tuition reduction.

Claiming the credit, Can You Claim the Credit, Claiming the Credit

Claiming the credit:

Qualifying to claim (Figure 2-2),

Coordination with Coverdell ESA distributions, Figuring the Taxable Portion of a Distribution, Coordination With Hope and Lifetime Learning Credits

Coordination with qualified tuition program (QTP) distributions, Coordination With Hope and Lifetime Learning Credits

Differences from lifetime learning credit, Differences between the Hope and lifetime learning credits.

Differences from lifetime learning credit:

Comparison table (Table 2-1),

Eligible educational institution, Eligible educational institution.

Eligible student, Who Is an Eligible Student

Eligible student:

Requirements (Figure 2-1), Expenses paid by dependent.

Expenses qualifying for, What Expenses Qualify, No Double Benefit Allowed

Figuring the credit, Figuring the Credit, Phaseout.

Income level, effect on amount of credit, Effect of the Amount of Your Income on the Amount of Your Credit

Income limits, What's New, Effect of the Amount of Your Income on the Amount of Your Credit

Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI).

Modified adjusted gross income (MAGI):

Worksheet 2-1, Claiming the Credit

Phaseout, Phaseout.

Qualified education expenses, Qualified Education Expenses

Refunds, Refunds.

Repayment of credit, When Must the Credit Be Repaid (Recaptured)

Tax benefit of, What is the tax benefit of the Hope credit.

I

Illustrated example of education credits (Appendix A), Appendix A. Illustrated Example of Education Credits

Impairment-related work expenses:

Work-related education deduction, Impairment-Related Work Expenses

Individual retirement arrangements (IRAs)

Early distributions (see Early distributions from IRAs)
Education (see Coverdell education savings account (ESA))

L

Lifetime learning credit, What's New, What's New,

Lifetime learning credit:

Academic period, Academic period.

Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses

Claiming dependent's expenses, Who Can Claim a Dependent's Expenses

Claiming dependent's expenses:

Tuition reduction, Tuition reduction.

Claiming the credit, Can You Claim the Credit, Who Cannot Claim the Credit, Claiming the Credit

Claiming the credit:

Qualifying to claim (Figure 3-1),

Coordination with Coverdell ESA distributions, Figuring the Taxable Portion of a Distribution, Coordination With Hope and Lifetime Learning Credits

Coordination with qualified tuition program (QTP) distributions, Coordination With Hope and Lifetime Learning Credits

Differences from Hope credit, Differences between the lifetime learning and Hope credits.

Differences from Hope credit:

Comparison table (Table 3-1),

Eligible educational institution, Eligible educational institution.

Eligible student, Who Is an Eligible Student

Expenses qualifying for, What Expenses Qualify, No Double Benefit Allowed

Figuring the credit, Figuring the Credit, Illustrated Example

Income level, effect on amount of credit, Effect of the Amount of Your Income on the Amount of Your Credit

Income limits, What's New, Effect of the Amount of Your Income on the Amount of Your Credit

Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI).

Modified adjusted gross income (MAGI):

Worksheet 3-1, MAGI when using Form 1040.

Phaseout, Phaseout.

Qualified education expenses, Qualified Education Expenses, No Double Benefit Allowed

Qualifying to claim (Figure 3-1),

Refunds, Refunds.

Repayment of credit, When Must the Credit Be Repaid (Recaptured)

Tax benefit of, What is the tax benefit of the lifetime learning credit.

Loans

Interest on (see Student loan interest deduction)

Loans:

Cancellation (see Student loan cancellation)

Capitalized interest on student loan, Capitalized interest.

Origination fees on student loan, Loan origination fee.

Qualified education expenses paid with:

Hope credit, Paid with borrowed funds.
Lifetime learning credit, Paid with borrowed funds.

Student loan repayment assistance, Student Loan Repayment Assistance

Losses, deducting:

Coverdell ESA, Losses on Coverdell ESA Investments
Qualified tuition program (QTP), Losses on QTP Investments

Luxury water transportation, Cruises and conventions.

M

Mileage deduction for work-related education, What's New, What's New, Using your car.

Military academy cadets, Payment to Service Academy Cadets

Missing children, photographs of, Reminders

Modified adjusted gross income (MAGI):

Coverdell ESA, Modified adjusted gross income (MAGI).

Coverdell ESA:

Worksheet 7-1,

Education savings bond program, Modified adjusted gross income (MAGI)., Who Can Cash In Bonds Tax Free

Hope credit, Modified adjusted gross income (MAGI).

Hope credit:

Worksheet 2-1, Claiming the Credit

Lifetime learning credit, Modified adjusted gross income (MAGI).

Lifetime learning credit:

Worksheet 3-1, MAGI when using Form 1040.

Student loan interest deduction, Modified adjusted gross income (MAGI).

Student loan interest deduction:

Table 4-2,

Tuition and fees deduction, Modified adjusted gross income (MAGI).

Tuition and fees deduction:

Table 6-2,
Worksheet 6-1,

More information (see Tax help)

N

National Health Service Corps Scholarship Program, Exceptions.

Nonaccountable plans:

Work-related education, Nonaccountable Plans

P

Pell grants, Pell Grants and Other Title IV Need-Based Education Grants

Performing artists, work-related education deduction, Performing Artists and Fee-Basis Officials

Phaseout:

Education savings bond program, Effect of the Amount of Your Income on the Amount of Your Exclusion
Hope credit, Phaseout.
Lifetime learning credit, Phaseout.
Student loan interest deduction, Phaseout.

Prizes:

Scholarships won as, Scholarship prizes.

Publications (see Tax help)

Q

Qualified education expenses:

Adjustments to:

Coverdell ESA, Adjusted qualified education expenses.
Education savings bond program, Adjusted qualified education expenses.
Hope credit, Adjustments to Qualified Education Expenses
Lifetime learning credit, Adjustments to Qualified Education Expenses
Qualified tuition program (QTP), Adjusted qualified education expenses.
Student loan interest deduction, Adjustments to Qualified Education Expenses
Tuition and fees deduction, Adjustments to Qualified Education Expenses
Work-related education, Adjustments to Qualifying Work-Related Education Expenses

Coverdell ESA, Qualified Education Expenses

Early distributions from IRAs, Qualified education expenses.

Education savings bond program, Qualified education expenses.

Expenses not qualified:

Hope credit, Expenses That Do Not Qualify
Lifetime learning credit, Expenses That Do Not Qualify
Tuition and fees deduction, Expenses That Do Not Qualify

Hope credit, Qualified Education Expenses, No Double Benefit Allowed

Lifetime learning credit, Qualified Education Expenses, No Double Benefit Allowed

Qualified tuition program (QTP), Qualified education expenses.

Scholarships and fellowships, Qualified education expenses.

Student loan interest deduction, Qualified Education Expenses

Tuition and fees deduction, What Expenses Qualify, No Double Benefit Allowed

Work-related education, What Expenses Can Be Deducted

Qualified elementary and secondary education expenses:

Coverdell ESAs, Qualified Elementary and Secondary Education Expenses

Qualified employer plans:

Student loan interest deduction not allowed, Qualified employer plan.

Qualified student loans, Qualified Student Loan

Qualified tuition program (QTP), Reminders, Qualified Tuition Program (QTP), Changing the Designated Beneficiary

Qualified tuition program (QTP):

Additional tax on taxable distributions, Additional Tax on Taxable Distributions
Change of designated beneficiary, Changing the Designated Beneficiary
Contributions to, How Much Can You Contribute
Coordination with Coverdell ESA distributions, Coordination With Coverdell ESA Distributions
Coordination with Hope and lifetime learning credits, Coordination With Hope and Lifetime Learning Credits
Defined, What Is a Qualified Tuition Program
Eligible educational institution, Eligible educational institution.
Figuring taxable portion of distribution, Figuring the Taxable Portion of a Distribution
Losses, Losses on QTP Investments
Qualified education expenses, Qualified education expenses.
Rollovers, Rollovers
Tax benefit of, What is the tax benefit of a QTP.
Taxability of distributions, Are Distributions Taxable, Figuring the additional tax.
Taxable earnings, Taxable earnings.
Transfers, Rollovers and Other Transfers

Qualified tuition reduction, Qualified Tuition Reduction

Qualified U.S. savings bonds, Qualified U.S. savings bonds.

Qualifying work-related education, Qualifying Work-Related Education

Qualifying work-related education:

Determining if qualified (Figure 12-1),

R

Recapture:

Hope credit, When Must the Credit Be Repaid (Recaptured)
Lifetime learning credit, When Must the Credit Be Repaid (Recaptured)
Tuition and fees deduction, When Must the Deduction Be Repaid (Recaptured)

Recordkeeping requirements:

Work-related education, Recordkeeping, Examples of records to keep.

Refinanced student loans, Interest on refinanced student loans., Refinanced Loan

Refunds:

Hope credit, Refunds.
Lifetime learning credit, Refunds.
Tuition and fees deduction, Refunds.

Reimbursements:

Nondeductible expenses, Reimbursements for nondeductible expenses.
Work-related education, How To Treat Reimbursements

Related persons:

Coverdell ESA, Members of the beneficiary's family.
Qualified tuition program (QTP), Members of the beneficiary's family.
Student loan interest deduction, Related person.

Repayment programs (see Student loan repayment assistance)

Reporting:

Coverdell ESA, Figuring the Taxable Portion of a Distribution
Early distributions from IRAs, Reporting Early Distributions
Education savings bond program, Claiming the Exclusion
Hope credit, Claiming the Credit
Lifetime learning credit, Claiming the Credit
Qualified tuition program (QTP), Taxable earnings.
Scholarships and fellowships, taxable, Reporting Scholarships and Fellowships
Student loan interest deduction, Claiming the Deduction
Tuition and fees deduction, Claiming the Deduction
Tuition reduction, taxable, How to report.
Work-related education expenses, Deducting Business Expenses

Revolving lines of credit, interest on, Interest on revolving lines of credit.

Rollovers:

Coverdell ESA, Rollovers
Qualified tuition program (QTP), Rollovers

S

Savings bond program, education (see Education savings bond program)

Scholarships and fellowships, Scholarships and Fellowships, Schedule SE (Form 1040).

Scholarships and fellowships:

Athletic scholarships, Athletic Scholarships
Eligible educational institution, Eligible educational institution.
Fellowship, defined, Scholarships and Fellowships
Figuring tax-free and taxable parts (Worksheet 1-1), Scholarships and Fellowships
Prize, scholarship won as, Scholarship prizes.
Qualified education expenses, Qualified education expenses.
Reporting, Reporting Scholarships and Fellowships
Scholarship, defined, Scholarships and Fellowships
Tax treatment of (Table 1-1), Tax-Free Scholarships and Fellowships
Tax-free, Tax-Free Scholarships and Fellowships
Taxable, Taxable Scholarships and Fellowships

Section 501(c)(3) organizations (see Student loan cancellation)

Section 529 program (see Qualified tuition program (QTP))

Self-employed persons:

Deducting work-related education expenses, Self-Employed Persons

Service academy cadets, Payment to Service Academy Cadets

Sports, games, hobbies, and noncredit courses:

Education savings bond program, Qualified education expenses.
Hope credit, Sports, games, hobbies, and noncredit courses.
Lifetime learning credit, Sports, games, hobbies, and noncredit courses.
Tuition and fees deduction, Sports, games, hobbies, and noncredit courses.

Standard mileage rate:

Work-related education, What's New, What's New, Using your car.

State prepaid education accounts (see Qualified tuition program (QTP))

Student loan cancellation, Student Loan Cancellation

Student loan cancellation:

Eligible educational institution, Eligible educational institution.
Section 501(c)(3) organizations, Section 501(c)(3) organization.

Student loan interest deduction, Reminders, Reminders,

Student loan interest deduction:

Academic period, Academic period.

Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses

Allocation between interest and principal, Allocating Payments Between Interest and Principal

Claiming dependent's expenses, Who Can Claim a Dependent's Expenses

Claiming the deduction, Claiming the Deduction

Eligible educational institution, Eligible educational institution.

Eligible student, Eligible student.

Figuring the deduction, Figuring the Deduction, Which Worksheet To Use

Final regulations, issued, Reminders

Include as interest, Include As Interest

Income level, effect on amount of deduction, Effect of the Amount of Your Income on the Amount of Your Deduction

Loan repayment assistance, Do Not Include As Interest

Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI)., Which Worksheet To Use

Modified adjusted gross income (MAGI):

Table 4-2,

Not included as interest, Do Not Include As Interest

Overview (Table 4-1),

Phaseout, Phaseout.

Qualified education expenses, Qualified Education Expenses

Qualified employer plans, Qualified employer plan.

Qualified student loans, Qualified Student Loan

Reasonable period of time, Reasonable period of time.

Related persons, Related person.

Student loan interest, defined, Student Loan Interest Defined

Third party interest payments, Reminders, Expenses paid by others.

When interest must be paid, When Must Interest Be Paid

Worksheet 4-1,

Student loan repayment assistance, Reminders, Student Loan Repayment Assistance

Suggestions for publication, Comments and suggestions.

Surviving spouse:

Coverdell ESA transfer to, Exception for Transfer to Surviving Spouse or Family Member

T

Tables and figures:

Comparison of education tax benefits (Appendix B), Appendix A. Illustrated Example of Education Credits, Appendices

Coverdell ESAs:

Contributions to (Table 7-2), When contributions considered made.
Distributions (Table 7-3),
Overview (Table 7-1), What is the tax benefit of the Coverdell ESA.

Education credits, comparison of (Tables 2-1 & 3-1), ,

Hope credit:

Comparing education credits (Table 2-1),
Eligible student requirements (Figure 2-1), Expenses paid by dependent.
Qualifying to claim (Figure 2-2),

Lifetime learning credit:

Comparing education credits (Table 3-1),
Qualifying to claim (Figure 3-1),

Scholarships and fellowships, taxability of (Table 1-1), Tax-Free Scholarships and Fellowships

Student loan interest deduction:

MAGI, effect of (Table 4-2),
Overview (Table 4-1), Introduction

Summary chart of differences between education tax benefits (Appendix B), Appendix A. Illustrated Example of Education Credits, Appendices

Tuition and fees deduction:

MAGI, effect of (Table 6-2),
Overview (Table 6-1),

Work-related education, qualifying (Figure 12-1),

Tax help, How To Get Tax Help

Tax-free educational assistance:

Coverdell ESA, Adjusted qualified education expenses.
Early distributions from IRAs, Figuring the Amount Not Subject to the 10% Tax
Education savings bond program, Adjusted qualified education expenses.
Hope credit, Tax-free educational assistance.
Lifetime learning credit, Tax-free educational assistance.
Qualified tuition program (QTP), Adjusted qualified education expenses.
Tuition and fees deduction, Tax-free educational assistance.
Work-related education, Tax-free educational assistance.

Taxable scholarships and fellowships, Taxable Scholarships and Fellowships

Taxpayer Advocate, Contacting your Taxpayer Advocate.

Teachers, Requirements for Teachers, Teaching and Related Duties

Temporary-basis student, transportation expenses of, Temporary basis.

Title IV need-based education grants, Pell Grants and Other Title IV Need-Based Education Grants

Transfers:

Coverdell ESA, Rollovers
Qualified tuition program (QTP), Rollovers and Other Transfers

Transportation expenses:

Work-related education, Transportation Expenses, Using your car.

Travel expenses:

50% limit on meals, 50% limit on meals.
Not deductible as form of education, Travel as Education
Work-related education, Travel Expenses

TTY/TDD information, How To Get Tax Help

Tuition and fees deduction, Tuition and Fees Deduction,

Tuition and fees deduction:

Academic period, Academic period.

Adjustments to qualified education expenses, Adjustments to Qualified Education Expenses

Can you claim the deduction, Can You Claim the Deduction

Claiming dependent's expenses, Who Can Claim a Dependent's Expenses

Claiming the deduction, Claiming the Deduction

Double benefit not allowed, No Double Benefit Allowed

Eligible educational institution, Eligible educational institution.

Eligible student, Who Is an Eligible Student

Expenses not qualifying for, Expenses That Do Not Qualify

Expenses qualifying for, What Expenses Qualify, No Double Benefit Allowed

Figuring the deduction, Figuring the Deduction

Income level, effect on amount of deduction, Effect of the Amount of Your Income on the Amount of Your Deduction

Loan used to pay tuition and fees, Paid with borrowed funds.

Modified adjusted gross income (MAGI), Modified adjusted gross income (MAGI).

Modified adjusted gross income (MAGI):

Table 6-2,
Worksheet 6-1,

Overview (Table 6-1),

Qualified education expenses, What Expenses Qualify, No Double Benefit Allowed

Qualifying for deduction, Can You Claim the Deduction

Refunds, Refunds.

Repayment of deduction, When Must the Deduction Be Repaid (Recaptured)

Tax benefit of, What is the tax benefit of the tuition and fees deduction.

Tax-free educational assistance, Tax-free educational assistance.

Tuition reduction:

Hope credit, Tuition reduction.
Lifetime learning credit, Tuition reduction.
Qualified, Qualified Tuition Reduction
Tuition and fees deduction, Tuition reduction.

U

U.S. savings bonds, Qualified U.S. savings bonds.

Unclaimed reimbursement:

Work-related education, Unclaimed reimbursement.

V

Veterans' benefits, Veterans' Benefits
Voluntary interest payments, Voluntary interest payments.

W

Withholding, Analyzing your tax withholding.

Work-related education (see Business deduction for work-related education)

Working condition fringe benefit, Working condition fringe benefit.

Worksheets:

Coverdell ESA:

Contribution limit (Worksheet 7-2), Figuring the limit.
MAGI, calculation of (Worksheet 7-1),
Taxable distributions and basis (Worksheet 7-3),

Hope credit MAGI calculation (Worksheet 2-1),

Lifetime learning credit MAGI calculation (Worksheet 3-1), MAGI when using Form 1040.

Scholarships and fellowships, taxable income (Worksheet 1-1), Scholarships and Fellowships

Student loan interest deduction (Worksheet 4-1),

Tuition and fees deduction, MAGI calculation (Worksheet 6-1),

Index

Symbols

A

B

C

D

E

F

G

H

I

L

M

N

P

Q

R

S

T

U

V

W