Education Tax Benefits


Parents everywhere want what's best for their children. More often this includes an education that will enable them to grow professionally. The federal government supports and encourages their efforts to provide that education through various programs and income tax incentives.

This course examines the programs, credits, deductions, and federal income tax treatment of various items that affect saving for and financing an individual’s education. In so doing, it considers qualified tuition programs (QTPs), Coverdell education savings accounts (ESAs), the education savings bond program, federal tax credits for education, the federal tax treatment of scholarships, fellowships, grants and tuition reductions, and the deductions available for student loan interest, tuition, and fees.

Learning Objectives

After completing this course, students will be able to:

  • identify the features and tax benefits of Qualified Tuition Programs available under IRC § 529
  • recognize the limits and tax treatment of contributions to and distributions from a Coverdell Education Savings Account (ESA)
  • identify the tax treatment of interest earned under qualified U.S. savings bonds used to pay certain education expenses
  • apply the American Opportunity and Lifetime Learning Credit rules
  • recognize the tax treatment given to scholarships, fellowships, and other types of educational assistance
  • apply the federal income tax rules applicable to student loan interest, payment of tuition and fees, and student loan cancellations and repayment assistance

Tax Year: 2024

Designed For

CPAs, EAs, and other tax professionals

Advanced Preparation


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