Federal legislation allows eligible postsecondary students or their parents to receive tax credit for 100% of the first $1,000 of tuition and fees and 50% of the second $1000 on their federal income tax

• Covers only the first two years of a student's education.
• Covers only tuition and fees, not books, room, board or other expenses.
• Income must not exceed $40,000 (individual) or $80,000 (married filing joint). Tax credit is gradually decreased up to $50,000 ($100,000) modified adjusted gross income. Cannot claim a tax credit above $50,000 ($100,000).
• Student must register for at least 6 hours to be eligible.
• Student must be registered in a program leading to a degree, certificate, or other recognized educational credential.
• Tax is reduced by other types of financial aid, such as the Pell Grant.
• Lifelong Learning Credit may assist with the junior and senior year of college.

More information can be obtained at the following website:
http://www.irs.gov/individuals/article/0,,id=96271,00.html

You may also contact your local community college financial aid department for more information.

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