Help! EE Interest income and college tuition Can't seem to find a straight answer to this one. Been on hold with
the IRS for a bit. Afraid I am not going to get a straight answer
from them either.
19 year old dependent has $2000 in W2 Earnings
$5000 in interest earnings from cashing in some EE bonds. Money used
to help pay tuition costs.
When I put the interest income on his return it says the interest
income is not deductible, and I thought EE bonds used for college
expenses were. We received a 1098-T from his school for the qualified
tuition expenses.
The question I have is whether or not the interest income should be
reported on our return or his. If I put it on his it says he is not
eligible for the credit. I have not tried to put it on ours yet. |