American Opportunity Tax Credit: This allows a maximum annual credit of $2,500 per eligible student. As we have explained in the past, part of this credit is refundable.The Lifetime Learning Credit: This is earmarked for qualified tuition and related expenses and is worth up to $2,000 per tax return. It is not refundable.Tax reform left these breaks intact. So sharpen your pencils and head back to the classroom!
Deductions for charitable contributionswavebreakmedia / Shutterstock.com In truth, tax reform’s impact on charitable contributions looks to be a bit of a double-edged sword.
On the one hand, the deduction itself has become more generous. The new tax law increases the amount of charitable cash contributions you can deduct — from 50 percent to 60 percent of your adjusted gross income.
However, millions of Americans now have a sha…