Sam paid the following expenses during October 2017 for his son Aaron's spring 2018 college expenses: Spring 2018 semester begins in January 2018: $$\begin{array} { l r r }
\text { Tuition } & \$ & 18,000 \
\text { Housing } & & 8,000 \
\text { Meal plarn } & & 3,500
\end{array}$$ In addition,Aaron's uncle paid $500 for college fees on behalf of Aaron directly to the college.Aaron is claimed as Sam's dependent on his tax return.How much of the paid expenses qualify for purposes of the education credit deduction for Sam in 2017?

Question

Sam paid the following expenses during October 2017 for his son Aaron's spring 2018 college expenses: Spring 2018 semester begins in January 2018: $$\begin{array} { l r r } 
\text { Tuition } & \$ & 18,000 \
\text { Housing } & & 8,000 \
\text { Meal plarn } & & 3,500
\end{array}$$ In addition,Aaron's uncle paid $500 for college fees on behalf of Aaron directly to the college.Aaron is claimed as Sam's dependent on his tax return.How much of the paid expenses qualify for purposes of the education credit deduction for Sam in 2017?

Quizplus · Accepted Answer

For the education credit deduction, qualified expenses generally include tuition and certain related expenses required for enrollment or attendance at an eligible educational institution. Room and board (housing and meal plan) are not qualified expenses for the purpose of education credits. Therefore, the tuition of $18,000 qualifies, and the additional $500 paid by Aaron's uncle directly to the college for fees also qualifies if these fees are required for enrollment or attendance. This brings the total to $18,500.

Sam Paid the Following Expenses During October 2017 for His Tuition $18,000 Housing 8,000 Meal plarn 3,500\begin{array} { l r r } \text { Tuition } & \$ & 18,000 \\\text { Housing } & & 8,000 \\\text { Meal plarn } & & 3,500\end{array} Tuition Housing Meal plarn ​$​18,0008,0003,500​

Sam Paid the Following Expenses During October 2017 for His $\begin{array} { l r r } \text { Tuition } & \$ & 18,000 \\\text { Housing } & & 8,000 \\\text { Meal plarn } & & 3,500\end{array}$