Education Tax Credits

As unemployed workers flock back to school to learn a new trade, education tax credits are becoming more valuable. St. Paul IRS spokeswoman Carrie Resch says parents and students should consider the Hope and Lifetime Learning credits. The Hope credit applies to the first two years of post-secondary education, such as college or vocational school. It can be worth up to $1,800 per year. The Lifetime Learning credit applies to undergraduate, graduate and professional degree courses, including instruction to acquire or improve job skills, regardless of the number of years in the program. If qualified, the student is eligible for a maximum credit of $2,000. The dollar amounts double for those in declared Midwest disaster areas.