The Internal Revenue Service offers a number of tax benefits for higher education expenses, but college books often won’t count as a qualified expense.
However, certain tax credits and exclusions do allow you to reduce your tax burden as a result of money you spent on books needed for college.
Can you claim college textbooks on your taxes?
Can I claim my school textbooks as tax deductible along with my tuition? Yes, for the American Opportunity Credit or the Lifetime Learning Credit, you can deduct your books and supplies that are required for enrollment or attendance at an eligible education institution.
What college expenses are tax deductible 2019?
The tax credit limit is $2,500 paid out for typical college costs like tuition, administrative fees, and textbooks, among other qualified costs. Claim the tax credit using IRS Form 8863, and make sure to include the college or university’s employer identification number when you complete your tax forms.
What education expenses are tax deductible 2018?
The tuition and fees deduction disappears entirely for AGI above $80,000 and $160,000 for single and joint filers, respectively. If you qualify, the tuition and fees deduction allows you to exclude up to $4,000 of qualifying expenses from your income, so the exact benefit depends on your tax bracket.
Are books a qualified education expense?
Definition of a qualified student loan. Definition of qualified education expenses (tuition and fees, room and board, books, supplies, equipment, other expenses such as transportation)
What education expenses are deductible?
One: The tuition and fees deduction for qualified education expenses can reduce your taxable income by up to $4,000, even if you don’t itemize your deductions. You likely qualify unless you’re above the IRS’s income threshold or if you are married and file separately.
Can grandparents get a tax deduction for paying for college?
However, grandparents don’t qualify for the Lifetime Learning Credit or the refundable American Opportunity Tax Credit unless the grandchild is their dependent. The same rule applies to tuition and fees deductions. Gift taxes are charged if grandparents donate more than $14,000 annually toward college savings accounts.