Tax News

CCH (cch.taxgroup.com) reports:

As the school year begins, the IRS is reminding taxpayers to begin planning for education-related deductions by saving all receipts and other documentation of deductible expenses. Among the various deductions and credits available is the educator expense deduction, which allows teachers, instructors, counselors and other educators to deduct the costs of books, supplies, software and other items used in the classroom. To be eligible for the deduction, the taxpayer has to work a minimum of 900 hours per school year in an elementary or secondary school. The deduction, worth up to $250, is available regardless of whether the taxpayer itemizes deductions, however, it is scheduled to expire at the end of 2007.
Other deductions and credits available regardless of itemization include the tuition and fees deduction, the Hope Credit and the lifetime learning credit, which apply to post-secondary education. The tuition and fees credit is, also, scheduled to expire at the end of the year. Taxpayers are cautioned that they cannot take both the tuition and fees deduction and an education credit for the same student in the same school year.
IR-2007-158, 2007FED ¶46,630
Other References:
Code Sec. 222
CCH Reference - 2007FED ¶12,772.01
Tax Research Consultant
CCH Reference - TRC INDIV: 36,364
CCH Reference - TRC INDIV: 60,064
CCH Reference - TRC FILEIND: 9,054.20
CCH Reference - TRC FILEIND: 9,086