However, they are eligible for the lifetime learning credit described in Other Tax Initiatives. Details for the new programs are still being worked out, but it is likely that students filing for the tax credit will have to complete a separate tax schedule similar to those required for interest and dividend income or child care expenses. The College is responsible for reporting the name, address, and taxpayer identification number of the student, as well as for providing information relating to any other individual who might claim the student as a dependent for the purpose of filing for the HOPE tax credit. As with the HOPE credit, income limits and other restrictions apply. Credits are scheduled to increase in 2003.
Withdrawals are Federal income tax-free for tuition and other eligible expenses.
Some income limits apply.