Table of Contents

• Publication 970 - Introductory Material
  • What's New
  • Reminders
  • Introduction
    • Comparison table.
    • Ordering forms and publications.
    • Tax questions.
  • Useful Items - You may want to see:
• 1.   Scholarships, Fellowships, Grants, and Tuition Reductions
  • Reminder
  • Introduction
  • Scholarships and Fellowships
    • Tax-Free Scholarships and Fellowships
    • Taxable Scholarships and Fellowships
    • Reporting Scholarships and Fellowships
  • Other Types of Educational Assistance
    • Fulbright Grants
    • Pell Grants and Other Title IV Need-Based Education Grants
    • Payment to Service Academy Cadets
    • Veterans' Benefits
    • Qualified Tuition Reduction
• 2.   American Opportunity Credit
  • Introduction
  • Can You Claim the Credit
    • Who Can Claim the Credit
    • Who Cannot Claim the Credit
  • What Expenses Qualify
    • Qualified Education Expenses
    • No Double Benefit Allowed
    • Expenses That Do Not Qualify
  • Who Is an Eligible Student
    • Exception.
  • Who Can Claim a Dependent's Expenses
  • Figuring the Credit
    • Effect of the Amount of Your Income on the Amount of Your Credit
    • Refundable Part of Credit
  • Claiming the Credit
  • When Must the Credit Be Repaid (Recaptured)
  • Illustrated Example
• 3.   Lifetime Learning Credit
  • Introduction
  • Can You Claim the Credit
    • Who Can Claim the Credit
    • Who Cannot Claim the Credit
  • What Expenses Qualify
    • Qualified Education Expenses
    • No Double Benefit Allowed
    • Expenses That Do Not Qualify
  • Who Is an Eligible Student
  • Who Can Claim a Dependent's Expenses
  • Figuring the Credit
    • Effect of the Amount of Your Income on the Amount of Your Credit
  • Claiming the Credit
  • When Must the Credit Be Repaid (Recaptured)
  • Illustrated Example
• 4.   Student Loan Interest Deduction
  • Introduction
  • Student Loan Interest Defined
    • Qualified Student Loan
    • Qualified Education Expenses
    • Include As Interest
    • Do Not Include As Interest
    • When Must Interest Be Paid
  • Can You Claim the Deduction
    • No Double Benefit Allowed
  • Figuring the Deduction
    • Effect of the Amount of Your Income on the Amount of Your Deduction
    • Which Worksheet To Use
  • Claiming the Deduction
• 5.   Student Loan Cancellations and Repayment Assistance
  • Introduction
  • Student Loan Cancellation
    • Qualifying Loans
  • Student Loan Repayment Assistance
• 6.   Tuition and Fees Deduction
  • Introduction
    • What is the tax benefit of the tuition and fees deduction.
  • Can You Claim the Deduction
    • Who Can Claim the Deduction
    • Who Cannot Claim the Deduction
  • What Expenses Qualify
    • Qualified Education Expenses
    • No Double Benefit Allowed
    • Expenses That Do Not Qualify
  • Who Is an Eligible Student
  • Who Can Claim a Dependent's Expenses
  • Figuring the Deduction
    • Effect of the Amount of Your Income on the Amount of Your Deduction
  • Claiming the Deduction
  • When Must the Deduction Be Repaid (Recaptured)
  • Illustrated Example
• 7.   Coverdell Education Savings Account (ESA)
  • Introduction
  • What Is a Coverdell ESA
    • Qualified Education Expenses
  • Contributions
    • Contribution Limits
    • Additional Tax on Excess Contributions
  • Rollovers and Other Transfers
    • Rollovers
    • Changing the Designated Beneficiary
    • Transfer Because of Divorce
  • Distributions
    • Tax-Free Distributions
    • Taxable Distributions
    • When Assets Must Be Distributed
• 8.   Qualified Tuition Program (QTP)
  • Introduction
  • What Is a Qualified Tuition Program
    • Designated beneficiary.
    • Half-time student.
  • How Much Can You Contribute
  • Are Distributions Taxable
    • Figuring the Taxable Portion of a Distribution
    • Additional Tax on Taxable Distributions
  • Rollovers and Other Transfers
    • Rollovers
    • Changing the Designated Beneficiary
• 9.   Education Exception to Additional Tax on Early IRA Distributions
  • Introduction
  • Who Is Eligible
  • Figuring the Amount Not Subject to the 10% Tax
  • Reporting Early Distributions
• 10.   Education Savings Bond Program
  • What's New
  • Introduction
  • Who Can Cash In Bonds Tax Free
    • Adjusted qualified education expenses.
    • Eligible educational institution.
    • Dependent for whom you claim an exemption.
    • MAGI when using Form 1040A.
    • MAGI when using Form 1040.
  • Figuring the Tax-Free Amount
    • Effect of the Amount of Your Income on the Amount of Your Exclusion
  • Claiming the Exclusion
  • Illustrated Example
• 11.   Employer-Provided Educational Assistance
  • Introduction
  • Working condition fringe benefit.
• 12.   Business Deduction for Work-Related Education
  • What's New
  • Introduction
  • Qualifying Work-Related Education
    • Education Required by Employer or by Law
    • Education To Maintain or Improve Skills
    • Education To Meet Minimum Requirements
    • Education That Qualifies You for a New Trade or Business
  • What Expenses Can Be Deducted
    • Unclaimed reimbursement.
    • Transportation Expenses
    • Travel Expenses
    • No Double Benefit Allowed
  • How To Treat Reimbursements
    • Accountable Plans
    • Nonaccountable Plans
  • Deducting Business Expenses
    • Self-Employed Persons
    • Employees
    • Performing Artists and Fee-Basis Officials
    • Impairment-Related Work Expenses
  • Recordkeeping
  • Illustrated Example
• 13.   How To Get Tax Help
  • Low Income Taxpayer Clinics (LITCs).
• Publication 970 - Additional Material
  • Appendices
    • Appendix A. Illustrated Example of Education Credits
  • Glossary
• Index