Save on Back to School with the MN K-12 Education Subtraction
The Minnesota Department of Revenue reminds parents and caregivers that by saving back-to-school shopping receipts for purchases made this year they can claim valuable K-12 tax benefits at tax time next year.
Two tax benefits can help Minnesota families pay expenses related to their child’s education: the refundable K-12 Education Credit (income limits apply) and the K-12 Education Subtraction (no income limits).
To qualify, the purchases must be for educational services or required materials. The child must be attending kindergarten through 12th grade at a public, private, or qualified home school and meet other qualifications.
Save those receipts for documentation purposes
When reviewing tax returns that claim the credit or subtraction, the department may request documentation of qualifying school supply purchases. It is important that families remember to save those receipts. Use a folder or envelope to store receipts for the upcoming tax filing season.
Most expenses for educational instruction or materials qualify, including:
· Paper
· Pens and notebooks
· Textbooks
· Rental or purchases of educational equipment such as musical instruments
· Computer hardware (hotspots, modems, and routers) and educational software (up to $200 for the subtraction and $200 for the credit) *
· After-school tutoring and educational summer camps taught by a qualified instructor*
*Fees for internet service, athletics fees and athletics equipment do not qualify
K-12 Education Subtraction
There are no income limits to qualify for the education subtraction. Most parents qualify. Parents can claim the K-12 Subtraction for tuition paid to private schools or college courses used to satisfy high school graduation requirements.
Check out this video to learn more about the K-12 education tax credit.
If you have any additional questions, please do not hesitate to contact our offices. We are here to help!
This content is informational only and does not constitute tax, legal or professional advice. While best efforts are made to ensure all information is accurate at the time of posting, tax laws and guidance from regulatory agencies are subject to change. For personal tax advice, please contact our office to schedule a tax planning appointment.
