Study a way for deducting tuition - Accountant in Oak Brook

It's almost time for college students to return to school.

If you're paying for higher education—for yourself, your spouse, or your dependents—there are several tax benefits that can help offset the costs.

American Opportunity Credit - Worth up to $2,500 per student for the first four years of college. 40% of the credit is refundable.

Lifetime Learning Credit - Worth up to $2,000 per tax return for any level of higher education, including graduate school and professional development courses.

529 Plan Distributions - Tax-free when used for qualified education expenses. The OBBBA now allows up to $20,000 annually for K-12 tuition.

Student Loan Interest Deduction - Deduct up to $2,500 in student loan interest, even if you don't itemize.

Employer Education Assistance - Up to $5,250 per year in employer-paid education benefits can be excluded from income.

Plan ahead to maximize these benefits and reduce the true cost of education.