All Topics > Education > Education Tax Credit/Deduction >

Education Tax Credit/Deduction New Jersey

Getting a college degree or taking classes to enhance your credentials can be expensive. Thankfully Uncle Sam has devised a few ways to lighten your financial load as you increase your course load. There are many higher education tax credits to choose from.

1. Local Companies

2. Education Tax Credit/Deduction

3. 2009 Stimulus Plan

4. Featured Local Company

1 . Local Companies

BANK OF AMERICA ATM
(800) 432-1000
30 Mall Dr W Newport Centre 281
Jersey City, NJ

Hudson City Savings Bank
(201) 653-2287
600 Summit Ave
Jersey City, NJ

Washington Mutual Bank
(201) 536-1589
414 Grand St
Jersey City, NJ

Beneficial Credit Services
(973) 624-6262
17 Academy St
Newark, NJ

Bank of America
(800) 432-1000
2400 John F Kennedy Boulevard 930
Jersey City, NJ

Bank of America
(800) 432-1000
880 Bergen Avenue 93002
Jersey City, NJ

North Fork Bank
(201) 420-2500
35 Journal Sq
Jersey City, NJ

Hudson City Savings Bank
(201) 652-2444
94 N Maple Ave
Ridgewood, NJ

E-Z Mortgage Referal
(201) 625-0043
31-11 Broadway
Fair Lawn, NJ

American Marketing & Consulting Llc
(973) 777-4211
667 Van Houten Ave
Clifton, NJ

2 . Education Tax Credit/Deduction

You cannot claim more than one tax benefit for each education expense. But choosing the best education tax credit or deduction can be tricky. Read on to learn which tax credit or deduction will save you the most.

Determining Your Eligibility
You could be eligible for an education tax credit or deduction if:

• You're a student and no one else claims you as a dependent.
• Your spouse is taking at least one post-secondary level class.
•Your dependent child is a college student or is taking a college-level class.

Both you and the student you are claiming on your taxes must qualify to receive education tax benefits. To be eligible, you must owe taxes. You can only take a credit up to the amount of taxes you owe. Married couples filing separately are not eligible for education tax credits or deductions. Once you determine that you are eligible, you are ready to choose your education tax credit or deduction.

Hope Floats Your Pocketbook: The Hope Credit
This Hope Credit is subtracted directly from the tax your family owes instead of being taken from taxable income like a tax deduction. The credit:

• Covers tuition and certain fees such as books and supplies,
• Can grant you up to $1,650/year for each eligible student,
• Offers 100% tax credit for the first $1,500 paid for qualified expenses and 50% tax
credit for the second $1,000.

To claim the Hope Credit, your income must be $57,000 or less if you are a single taxpayer, or $113,000 or less if you are a married taxpayers filing a joint return. The exact amount of the credit you will get depends on your family's income, the amount of tuition you pay, and any scholarships or tuition assistance you receive.

Choose the Hope Credit if:

• You have more than one eligible student in your family.
The total credit is based on how many eligible students are in the family, rather than a maximum dollar amount you pay, as with the Lifetime Learning tax credit.

• You (or a dependent) are in the first two years of a degree or certificate program.
The student must be enrolled in the first two years of a program that awards a degree or certificate.

• You (or a dependent) are enrolled at least half time.
The student must be enrolled for one academic term beginning in the tax year for at least half-time study.

• You have not been convicted of a federal or state drug felony.
The Hope Credit does not offer benefits for convicted drug felons.

Learn Strong with the Lifetime Learning Credit
The Lifetime Learning Credit is good news for people going back to school. The credit is earmarked for continuing education students and is available to students studying at any level. Here are some facts about t

3 . 2009 Stimulus Plan

Starting in the 2009 tax year, under the American Recovery and Reinvestment Act (ARRA), more parents and students will qualify over the next two years for a tax credit, the American Opportunity Credit, to pay for college expenses.

The American Opportunity Credit is not available on the 2008 returns taxpayers are filing during 2009. The new credit modifies the existing Hope Credit for tax years 2009 and 2010, making the Hope Credit available to a broader range of taxpayers, including many with higher incomes and those who owe no tax. It also adds required course materials to the list of qualifying expenses and allows the credit to be claimed for four post-secondary education years instead of two. Many of those eligible will qualify for the maximum annual credit of $2,500 per student.

The full credit is available to individuals whose modified adjusted gross income is $80,000 or less, or $160,000 or less for married couples filing a joint return. The credit is phased out for taxpayers with incomes above these levels. These income limits are higher than under the existing Hope and Lifetime Learning Credits

Click here to read more from irs.gov

Click here for application form

4 . Featured Local Company

BANK OF AMERICA ATM

(800) 432-1000
30 Mall Dr W Newport Centre 281
Jersey City, NJ
http://www.bankofamerica.com

Read more about Education Tax Credit/Deduction

- Tuition and Fees Deduction New Jersey

Tuition costs at public universities increased over 6% last year according to the College Board. In addition to rising tuition, your educational expenses might include books, activities fees, lab fees, and miscellaneous charges. Education tax benefits, including the Tuition and Fees Deduction, can help you cope with these climbing education costs.

- Hope Credit New Jersey
- Inclusion Education New Jersey
- Private and College-Sponsored Loans New Jersey
- How To Get an Accelerated Education Online New Jersey
- Student Loan Interest Deduction New Jersey
- Driver Education Enrollment New Jersey
- Lifetime Learning Credit New Jersey
- How to Find Free Scholarship Money New Jersey
- How To Apply for Federal Education Grants New Jersey

Regional Articles

- Inclusion Education New Jersey

If you have a child with special needs, one word you are going to hear regarding education is "inclusion." This article deals with inclusion specifically as it applies to the US educational system.

- How to Find Free Scholarship Money New Jersey
- Tuition and Fees Deduction New Jersey
- How To Apply for Federal Education Grants New Jersey
- Lifetime Learning Credit New Jersey
- Student Loan Interest Deduction New Jersey
- Hope Credit New Jersey
- Private and College-Sponsored Loans New Jersey
- Driver Education Enrollment New Jersey
- How To Get an Accelerated Education Online New Jersey

Related Local Events

Teacher Expo, Expanding Teaching Horizons
Dates: 8/19/2009 - 8/19/2009
Location: Holiday Inn
Cherry Hill, NJ
View Details

Teacher Expo, Expanding Teaching Horizons
Dates: 8/12/2009 - 8/12/2009
Location: Wayne PAL
Wayne, NJ
View Details

Focused Coachings Admissions Boot Camp
Dates: 8/10/2009 - 8/17/2009
Location: Monmouth University - Bey Hall
West Long Branch, NJ
View Details

Teacher Expo, Expanding Teaching Horizons
Dates: 8/6/2009 - 8/6/2009
Location: Sheraton Eatontown
Eatontown, NJ
View Details

Teacher Expo, Expanding Teaching Horizons
Dates: 7/30/2009 - 7/30/2009
Location: Holiday Inn
Springfield, NJ
View Details

Advertising	Food & Beverage	Nightlife
Business Services	Franchise	Online Database
Career	Health	Pets
Cars	Holidays	Real Estate Resources
Computer Hardware	Home Appliances	Retail & Consumer Services
Construction	Home Electronics	Software
Education	Home Services	Technology
Entertainment	Industrial Goods & Services	Telecommunications
Environmental	Insurance	Trade Shows
Family	Internet	Travel
Fashion	Legal	Weddings
Financial Services	Miscellaneous	World History

Advertising	Family	Home Services	Real Estate Resources
Business Services	Fashion	Industrial Goods & Services	Retail & Consumer Services
Career	Financial Services	Insurance	Software
Cars	Food & Beverage	Internet	Technology
Computer Hardware	Franchise	Legal	Telecommunications
Construction	Health	Miscellaneous	Trade Shows
Education	Holidays	Nightlife	Travel
Entertainment	Home Appliances	Online Database	Weddings
Environmental	Home Electronics	Pets	World History