Income Tax changes for 2014

Discussion in 'General Distance Learning Discussions' started by Ian Anderson, Dec 16, 2013.

  1. Ian Anderson

    Ian Anderson Active Member

    I understand certain education related deduction expire at the end of 2013. A short comment in my local paper advised students to pay next years tuition this year in order to get deductions.

    Education Tax Deduction:
    The higher education tuition deduction, which allows folks to deduct between $2,000 and $4,000 of qualified tuition costs, was retroactively restored for 2012 and will expire at the end of 2013.
  2. nosborne48

    nosborne48 Well-Known Member

    Tuition deductions

    Who knows whether Congress will extend the deductions into TY 2014. Personally, I think so because there appears to be a warming trend in that august body. And don't forget, there is more than one source for education related deductions. See IRS Pub. 970.

    Publication 970 (2012), Tax Benefits for Education

    As to whether you should "pay ahead", that will vary according to individual circumstances but on the whole, a tax deduction this year is better than the same tax deduction next year, all other things being roughly equal.

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