TAX INFORMATION
...x Relief Reconciliation Act of 2001 (EGTRRA) established a Tuition and Fees Deduction for qualified higher education expenses for students who have a Modified Adjusted Gross income that exceeds the defined thresholds for the tax credits. To claim the Hope or Lifetime Learning tax credit, use IRS Form 8863, Education Credits. To claim a tuition and fees deduction for higher education expenses, no additional forms are required nor is it necessary to file an itemized federal income tax return. The deduction is claimed on Line 19 on IRS Form 1040A, or Line 26 on IRS Form 1040. If you are claimed as a dependent by another person [including your parent(s)], you cannot claim the Hope tax credit, Lifetime Learning tax credit, or a tuition and fees deduction. However, the person claiming you may be entitled to the credit on his or her tax return. You can claim a Hope Credit for only two tax years for each eligible student. An eligible student can be you, your spouse, or your dependent for whom you claim an exemption. The maximum Hope Credit is $1,500 for each eligible student (100% of the first $1,000 of qualified tuition and related expenses, plus 50% of the next $1,000 of such expenses). The Hope Credit is gradually reduced if your...