Education Credit Worksheet

[marlenew]

Does anyone have a education credit worksheet to gather all the necessary information for the tax credits and if so, will you share it? Had 2 clients today with kids in college and they did not have the required information so I'm thinking..create a form they can fill out and sign. Just though I ask before I create my own form.

[Burke]

My software has one, but all the info comes off the 1098-T, which you must have. That form and a transcript from the school of charges billed and paid will give you everything you need.

[FEDUKE404]

Worksheet helpful but not a solution

Does anyone have a education credit worksheet to gather all the necessary information for the tax credits and if so, will you share it? Had 2 clients today with kids in college and they did not have the required information so I'm thinking..create a form they can fill out and sign. Just though I ask before I create my own form.

The calculations are reasonably simple IF/WHEN you get all of the facts. (What were the qualifying expenses?, which of those expenses did you pay in 20xx?, and were any of those expenses paid (past/future) by scholarships or grants?)

Most tax software has either a relevant Q&A option or, perhaps, a worksheet.

As for having something the parents fill out and sign, that is getting dangerously close to the GIGO abyss.

The far greater responsibility is on the tax preparer having full knowledge of the rules, and then asking all necessary questions and procuring all relevant information/documents. A parental signature on a worksheet would likely not meet that fundamental requirement.

FE

[marlenew]

Worksheet helpful but not a solution

I was not planning on having a client just fill out a worksheet but use it as a tool because most times the client comes in for the meeting and hands me a 1098T and don't understand that there is a lot more to getting the credit. I need to send them home with a list such as "what did you actually pay" because as we all know most of the 1098T's has billed and it is not always the same along with cost of books, scholarships, loans, withdrawals from 529 plans,etc. To verify that they have a tax free withdrawal from a QTP, we need to know all these items along with the cost of room and board to check to make sure that had a tax-free distribution. We need to explain this to the client and have them get back to us with the required information and I thought a form would be easier for them to use so today I created a form.

[taxmom34]

wouldn't it be easier to tell client to get student statement from college and make a copy . then you can add up the items that were paid . in most cases that is all you need. i never used the billing fees stated on the 1098T. (that is billed not paid, so , no good for tax return)