Supplementary items and services (including extended day programs).In addition, a Coverdell ESA could cover these expenses if they are required or provided by an eligible elementary or secondary school in connection with attendance or enrollment: (This doesn’t include expenses for computer software designed for sports, games or hobbies unless the software is predominantly educational in nature.) Computer or peripheral equipment, computer software, or Internet access and related services if it is to be used by the beneficiary and the beneficiary’s family during any of the years the beneficiary is in elementary or secondary school.Special needs services for a special needs beneficiary.Generally, if your child (or the designated beneficiary) is in kindergarten through grade 12, a Coverdell ESA distribution could potentially pay for the following education expenses tax-free: Qualified Elementary and Secondary Education Expenses (K-12) The qualified expenses vary depending on the level of school, according to IRS Publication 970 (Section 7 for CESA), as outlined below. The qualified education expenses must relate to the enrollment or attendance of the designated beneficiary at an eligible education institution. ![]() ![]() It’s also possible to pay for books, equipment, supplies or even to buy a computer with tax-free Coverdell ESA distributions. ![]() You can generally use tax-free education savings account withdrawals for more than just the cost of school (tuition and fees). What are qualified education expenses for a Coverdell?
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |