Tax Benefits for Education - Business Services - UW-Madison 2025

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  1. Click ‘Get Form’ to open it in the editor.
  2. Begin with Part A, where you will establish your groups. Enter the number of undergraduate students enrolled in Fall 2008 and categorize them into specified groups as required.
  3. Move to Part B, which focuses on financial aid for Group 1. Report the total number of students and the amount of aid received from various sources during the academic year.
  4. In Part C, provide details about Group 2. Ensure you include counts of full-time, first-time degree-seeking undergraduates and their respective financial aid data.
  5. Continue to Parts D and E, where you will report on Groups 3 and 4 respectively. Fill in living arrangements and total grant aid received by these students.
  6. Finally, review all entries for accuracy before submitting your form. Utilize our platform's features to save your progress or make edits as needed.

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The Wisconsin sales and use tax law in s. 77.54(9a) provides an exemption from payment of state, county and local tax. The Department of Revenue has issued a tax-exempt number for use by all UW System institutions. Individuals may be asked to provide proof of tax exemption when conducting university business.
Qualified expenses are amounts paid for tuition, fees and other related expense for an eligible student that are required for enrollment or attendance at an eligible educational institution. You must pay the expenses for an academic period* that starts during the tax year or the first three months of the next tax year.
The $6,000 senior deduction is per eligible individual (or $12,000 total for a married couple where both spouses qualify). Deduction phases out for taxpayers with modified adjusted gross income over $75,000 ($150,000 for joint filers).
If youre self-employed, you can deduct the cost of education for your trade or business on Schedule C. You must be able to prove that the course: Maintains or improves skills you need in your trade or business.
If you are an employee of your own C or S corporation, you should turn in work-related education expenses to the company for reimbursement. The reimbursements are a tax-free fringe benefit to you (no income or employment taxes), and the company can deduct them as business expenses.

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Examples of tax-free educational assistance include: Tax-free parts of scholarships and fellowships. Pell Grant and other need-based education grants. Employer-provided and veterans educational assistance.
You can use the IRSs Interactive Tax Assistant tool to help determine if youre eligible for educational credits or deductions, including the American Opportunity Tax Credit (AOTC) or the Lifetime Learning Credit (LLC). There are additional requirements for foreign students and dependents who have an ITIN.

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