Writing Off Your College Expenses

That tax due date is rapidly approaching, of course, if you’re a college student, you’re probably used to putting things off till the last minute. But if you have waited till now to do your taxes, you may actually be better off. Why? Because you probably didn’t know about all the ways college students can save money on their taxes. As a former student, I know you really need every break you can get and fortunately there are several tax breaks available, here’s how you can save money on taxes:

Save Money on Your Taxes

• Hope Scholarship Tax Credit

In order to be eligible for the Hope Scholarship tax credit, you must be a freshmen or sophomore in college and enrolled at least half-time. Qualified students can get up to $1,650, though they must have no felony convictions involving the possession or distribution of controlled substances before the end of the fiscal year.

• Lifetime Learning Tax Credit

The Lifetime Learning Tax Credit is available to any students who take at least one class from an accredited school, undergraduate or graduate. It allows you to get a credit of $2,000 max, based on how much was spend on educational expenses. To qualify, single filers must have an adjusted gross less than $57,000.

• Student Loan Interest Deduction

For those that are still paying back those student loans, you may also be in luck with the student loan interest deduction. Your adjusted gross income must be less than $70,000, but you can adjust the amount of your income subject to tax by as much as $2,500.

• Tuition and Fees Deduction

Don’t qualify for any of the above credits or deductions? If you’re adjusted gross income is between $65,000 and $80,000, you may qualify for the tuition and fees deduction. It lets you deduct up to $4,000 in tuition and fees from attending one of the eligible colleges or institutions. Keep in mind that his refers to tuition expenses only, not personal, living, medical, or any other types of expenses.