The federal government provides tax benefits that may help offset college expenses for those who qualify. Income limitations may apply.
American Opportunity Grant
Students must be enrolled in college at least half-time for one period of the tax year and be pursuing an undergraduate degree..
Lifetime Learning Credit
Students must be enrolled for at least one academic period beginning in the tax year. This credit is also allowed for courses toward a degree, educational credential or for classes taken to improve job skills.
Student Loan Interest Deduction
You may deduct student loan interest during all periods of required repayment. You’re not required to itemize to claim the deduction.
Tuition and Fees Deduction
You may be able to deduct the cost of qualified higher education expenses to reduce your income.
See www.irs.gov or talk to a tax adviser for more more details about these benefits.
Edvisors also provides an overview of education tax benefits.