| Families who made their best guess as to
| |
| | of 1997, which Senator Schumer supported
|
| which of the Education Tax Incentives
| |
| | and voted for. The Act created two
|
| would save them the most on their income
| |
| | education tax credits; the HOPE
|
| taxes, have put their 2007 tax returns to
| |
| | Scholarship Credit (maximum $1,500 a year
|
| bed. However, for many, a sigh of relief
| |
| | for 2 years), and the Lifetime Learning
|
| is a bit premature. Countless families,
| |
| | Credit (maximum $1,000 increasing to
|
| even when assisted by professional tax
| |
| | $2,000 in 2003).
|
| preparers, chose incorrectly and will or
| |
| | Note: A tax deduction lowers taxable
|
| have significantly overpaid the IRS -
| |
| | income, and the savings depends on the
|
| AGAIN!
| |
| | filer's tax bracket. A tax credit
|
| Mark Twain once said, "No man's life,
| |
| | directly lowers taxes by the amount of
|
| liberty, or property are safe while the
| |
| | the credit, dollar for dollar, regardless
|
| legislature is in session," and never
| |
| | of the filer's tax bracket.
|
| have truer words been spoken:
| |
| | Although it was a step in the right
|
| On June 6, 2001, President Bush signed HR
| |
| | direction, The Act fell far too short in
|
| 2014 into law. This created The Tuition
| |
| | providing major tax relief for college
|
| and Fees Deduction, based on Senator
| |
| | families, especially in view of soaring
|
| Charles E. Schumer's (D-NY) Make College
| |
| | tuition costs and other related expenses
|
| Affordable Act. However, the president
| |
| | that families endure year after year.
|
| signed a watered down version and
| |
| | Nonetheless, the real tragedy is when the
|
| consequently, it doesn't work for the
| |
| | Tuition and Fees Deduction is taken by
|
| families who need it the most.
| |
| | taxpayers who qualify for The HOPE
|
| For many years, Senator Charles E.
| |
| | Scholarship Credit or The Lifetime
|
| Schumer (D-NY) tirelessly championed
| |
| | Learning Credit, and consequently,
|
| legislation that would allow families,
| |
| | overpay their taxes each year their
|
| including independent students, to deduct
| |
| | student is in college!
|
| a portion of their college expenses on
| |
| | Affluent single and head of household
|
| their tax returns. Originally, the
| |
| | taxpayers whose adjusted gross incomes
|
| Senator's proposed legislation, the Make
| |
| | (AGI) exceed $51,000, and joint filers
|
| College Affordable Act, would have
| |
| | whose AGI exceeds $102,000, will not
|
| allowed millions of American families to
| |
| | qualify for the HOPE Scholarship or
|
| deduct up to $12,000 per year from their
| |
| | Lifetime Learning Credit, and are
|
| total incomes to help reduce the cost of
| |
| | therefore, the only ones who actually
|
| college tuition and related expenses.
| |
| | benefit from taking the Tuition and Fees
|
| Unfortunately, to the chagrin of the
| |
| | Deduction. Thus, camouflaged as tax
|
| Senator and to the detriment of untold
| |
| | relief for all of America's college
|
| numbers of taxpayers with college
| |
| | families, what Congress actually did was
|
| students, HR 2014 offers a dramatically
| |
| | Robin-Hoodwink lower and middle income
|
| reduced Tuition and Fees Deduction of a
| |
| | families by taking from them and giving
|
| mere $3,000 for tax years 2002-2003, and
| |
| | to the rich!
|
| $4,000, for tax years 2004-2006,
| |
| | Taxpayers only have the option of taking
|
| (extended to 2007).
| |
| | either the tuition deduction or one of
|
| The drastic slashing by Congress of
| |
| | the education credits. Those families who
|
| Senator Schumer's bill and President
| |
| | took the deduction when they qualified
|
| Bush's failure to send it back to them is
| |
| | for either of the education credits, cost
|
| the case in point substantiating that our
| |
| | themselves hundreds of dollars and
|
| government doesn't give a hoot in hell
| |
| | possible much more.
|
| about the financial struggle the average
| |
| | Think what you may about the Clinton
|
| parent endures in their endless pursuit
| |
| | Administration, but remember, it was on
|
| of the American dream for their children.
| |
| | his watch that the HOPE Scholarship and
|
| Effective legislation to make college
| |
| | Lifetime Learning Credit were signed into
|
| expenses tax deductible was long overdue
| |
| | law. It doesn't benefit college families
|
| and began with the Tax Payer Relief Act
| |
| | enough, but it's a good start.
|
