Tax Policies.
In addition to funding for workforce development programs, the federal government uses tax credits and deductions to offset costs for training incurred by workers and / or their employers. Currently five provisions of the Internal Revenue Code offer tax assistance to individuals and businesses incurring expenses for postsecondary education: the HOPE Tax Credit (changed to the American Opportunity Tax Credit for tax years 2009 and 2010 under the American Recovery and Investment Act), the Lifetime Learning Credit (LLC), the Tuition and Fees Deduction, the Student Loan Interest Deduction, and Section 127 Employer-Provided Assistance.
National Skills Coaltion advocates for policies such as: allowing students attending school less than half-time or attaining for longer than four years to claim these tax credits; making these credits refundable so that workers earning low wages may claim them; and, expanding allowable expenses under these credits.
This page contains overview materials on these tax policies, as well as analysis developed by National Skills Coaltion.
National Skills Coalition Platform and Overview
Overview of Tax Credits and Deductions for Education and Training | Training Policy in Brief, 2007
Making Higher Education Tax Credits Work for Non-Traditional Students | September 2007
Senate Higher Education Tax Credit Bills | May 2007
Higher Education Tax Credit Proposals | March 2007
