December year-end S corporations, partnerships and LLCs have 2016 tax returns due September 15, 2017.
December year-end C corporations and 2016 individual returns are due October 16, 2017.
As we head into fall, some of us have children that will be going back to college, which means paying tuition and other education-related expenses. We recommend planning ahead to take advantage of one of the available education credits offered by the IRS for the 2017 tax year.
American Opportunity Tax Credit
Allows up to $2,500 tax credit per student, available ONLY for the first 4 years of post-secondary education. Students must be enrolled at least on a half-time basis in a program leading to a degree, credential or certificate. Generally, qualified expenses are tuition, enrollment fees, computers and course materials.
Lifetime Learning Credit
Allows up to $2,000 tax credit (up to 20% of first $10,000 in qualified expenses per tax return), available for an unlimited number of years. Student must be enrolled in at least one undergraduate or graduate college course. Qualified expenses are tuition and enrollment fees.
The Tuition and Fees Deduction
[NOTE: this tax break expired at the end of calendar year 2016 and it is uncertain as to whether this provision will be re-instated for the 2017 tax year]. This deduction allows an exclusion of up to $4,000 per tax return in qualifying tuition and enrollment fees from gross income.
It is important to note that there are AGI limitations that phase out these tax breaks. Please contact us so we can review these benefits with you.
Phone: (818) 728-9868 | Fax: (818) 728-9822