Tax Help - An Education For Mom & Dad

For divorced parents of full time college students, there are a number of tax related issues that you should familiar yourself with.

If the student lives with the mother she is claimed on the mother’s return as a dependent.

There are instances where the father is awarded the dependency claim.

Here’s another twist, under a final divorce decree, the father is requried to make tuition payments on behalf of his child directly to the University where they are enrolled. The question is now can the father deduct as an education credit the expenses paid for his child.

The answer is NO. The payments made to the University by the father are treated as if the father gave the child the money and the payment to the University was made by the child.

The mother is allowed to claim the education credit since she is eligible to claim the child as a dependent.

But on the other hand, if the father is given the right to claim the child on his return, then he may claim the education expenses on his return.