1098-T Statement & Tax Credits
The Taxpayer Relief Act of 1997 allows a tax credit to be claimed for out-of-pocket payments made to Marist College during 2017 for tuition and certain fees. The IRS requires that we provide a 1098-T statement to you for your use in completing ITD Form 8863.
The 1098-T statement will include all charges billed during the 2017 tax year, depending on the date of billing. Marist College has elected to provide charges billed versus payment as outlined by the Federal Government. Therefore, 2018 January/Spring term charges may not be included, due to billing date. However, 2017 January/Spring term charges may be included, if billed prior to December 31, 2017.
We recommend that you refer to that information to assist you in determining the amount of credit which may be claimed on your behalf. This information should not be misinterpreted as tax advice. The amounts and calculations used to determine the credit are the decision of the taxpayer after consideration of relevant IRS regulations, Form 8863, and, perhaps, the advice of a tax consultant.
|A detailed listing of qualified charges, payments, and scholarships is available via your myMarist account. Please log on to myMarist, click the Student tab and then click "Self Service Banner (SSB)." Once you are on Self Service banner, please click the tab for "Student Financial Services" and then you will see the link for "Tax Information." Please use 2017 for the applicable year.|
(American Opportunity and Lifetime Learning Credits)
Comparison of Education Credits:
Caution. You can claim both the America opportunity Credit and the Lifetime Learning credit on the same return, but not for the same student.
|American Opportunity Credit
||Lifetime Learning Credit|
|Maximum credit||Up to $2,500 credit per eligible student|| Up to $2,000 credit per return
|Limit on modified adjusted gross income (MAGI)||$180,000 if married filling jointly; $90,000 if single, head of household, or qualifying widow(er)||
$130,000 if married filling jointly;
$65,000 if single, head of household, or qualifying widow(er)
|Refundable or nonrefundable||40% of the credit may be refundable; the rest is nonrefundable.||Nonrefundable--Credit limited to the amount of tax you must pay on your taxable income|
|Number of years of postsecondary education||Available ONLY if the student had not completed the first 4 years of postsecondary education before 2017 (generally the freshman through senior years, determined by the eligible educational institution, not including academic credit awarded solely because of the student's performance on proficiency examinations)||Available for all years of postsecondary education and for courses to acquire or improve job skills|
|Number of tax years credit available||Available ONLY for 4 tax years per eligible student (including any year(s) Hope Credit was claimed)||Available for an unlimited number of years|
|Type of program required||Student must be pursuing a program leading to a degree or other recognized education credential||Student does not need to be pursuing a program leading to a degree or other recognized education credential|
|Number of courses||Student must be enrolled at least half-time for at least one academic period that began during 2017 (or the first three months of 2018 if the qualified expenses were paid in 2017)||Available for one or more courses|
|Felony drug conviction||As of the end of 2017, the student had not been convicted of a felony for possessing or distributing a controlled substance||Felony drug convictions do not make the student ineligible|
|Qualified expenses||Tuition, required enrollment fees, and course materials that a student needs for course of study whether or not the materials are bought at the educational institution as a condition of enrollment or attendance.
||Tuition and required enrollment fees (including amounts required to be paid to the institution for course-related books, supplies, and equipment).|
|Payments for academic periods||
Payments made in 2017 for academic periods beginning in 2017 or beginning in the first 3 months of 2018
|TIN Needed by filing Due Date||
Filers and students must have a TIN by the due date of their 2017 return (including extensions)
|Educational Institution's EIN||You must provide the educational institution's employer identification number (EIN) on your Form 8863|
For additional information about Education Credits, please refer to:
Student Loan Interest
What is the tax benefit for interest paid on educational loans?
Generally, personal interest you pay, other than certain mortgage interest, isn't deductible on your tax return. However, if your modified adjusted gross income (MAGI) is less than $80,000 ($165,000 if filing a joint return), you may be allowed a special deduction for paying interest on a student loan (also known as an education loan) used for higher education. For most taxpayers, MAGI is the adjus-ted gross income as figured on their federal income tax re-turn before subtracting any deduction for student loan in-terest. This deduction can reduce the amount of your income subject to tax by up to $2,500.
The amount of your student loan interest deduction for 2017 is gradually reduced (phased out) if your modified adjusted gross income (MAGI) is between $65,000 and $80,000 ($135,000 and $165,000 if you file a joint return).
The student loan interest deduction is claimed as an adjustment to income. This means you can claim this deduction even if you do not itemize deductions on Schedule A (Form 1040).