Any Tax Breaks for Homeschoolers?

Since tax season 2012 has officially launched, I’ll address a question I am frequently asked,handswithcash

Do homeschoolers get any tax breaks for their homeschooling expenses? Can a homeschool family deduct any of their homeschool expenses?

The simple answer is “No; there are no tax credits for homeschool expenses from the federal government.”

The longer answer is “Maybe, depending on what state you live in.”

Several states have an educational tax credit. Iowa, Arizona, Minnesota and Illinois all have some sort of  tax break for individuals. The credit is available to any public or private school student, so it is not unique to homeschoolers. Florida and Pennsylvania offer businesses tax credits if they sponsor a scholarship.

This document has a chart of education tax credits and deductions by state (updated November 2008). Scroll to page 6 to see the chart.

http://www.house.leg.state.mn.us/hrd/pubs/feelaw.pdf

Home School Legal Defense Association has an explanation of some states’ tax breaks or credits:

http://www.hslda.org/docs/nche/000010/200504150.asp

Some homeschoolers think they can start a business or a nonprofit organization of their homeschool activities and then deduct their expenses.  It doesn’t work that way. See my blog post  “Can you set up homeschooling as a business?”

Ann Zeise of A to Z Home’s Cool addresses these ideas:

You cannot contribute to your own child’s K12 education and get any tax deduction for it, no more than if you sent him to a private school and tried to write off the tuition.

Carol Topp, CPA

“Digital image content © 1997-2007 Hemera Technologies Inc., a wholly owned subsidiary of Jupiter Images Corporation. All Rights Reserved”.

Comments

  1. A tax break is nice but I think I will accept the status quo. Government goodies are always tied with a red tape bow!

  2. Woody says:

    Just stumbled across your website. Thanks for posting such concise and thorough information. It’s a valuable contribution.

  3. I think that North Carolina also has some tax credits linked to homeschooling, if your child has an IEP. The Autism Society of North Carolina has more information on their website.
    http://www.autismsociety-nc.org/index.php?option=com_content&view=article&id=398&Itemid=759

  4. It seems so unfair/wrong to be required to pay school taxes AND to pay your own way for either homeschooling or private school. It is time for new thinking.

Trackbacks

  1. […] Homeschool CPA The simple answer is “No; there are no tax credits for homeschool expenses from the federal government.” The longer answer is “Maybe, depending on what state you live in.” […]

Speak Your Mind

*