The Iowa tuition and textbook credit is a tax credit available on Iowa tax returns for qualifying expenses paid for K-12 education of a taxpayers’ dependents.
Almost any expense counts toward the credit. I went into more detail in this blog post from 2013.
I generally tell people that only expenses paid to a public school, or to a school that doesn’t teach religious doctrines, count toward the credit. The law says expenses paid to a school that teaches religious doctrines don’t count toward the credit.
However, I’ve had discussions with the Iowa Department of Revenue where I’ve been told that expenses paid to a school that teaches religious doctrines could count if you can separate out costs for general classroom expenses versus the cost of things that relate toward the teaching of religious doctrines.
I take this to mean that school supplies (notebooks, pens, etc.) would probably count, but tuition probably wouldn’t. I’ll write more about this in a future blog post.
The credit is 25% of the first $1,000 of expenses per child (so the maximum credit is $250 per child).
For more tax terms, visit the Glossary page on this website.
“This blog post, along with comments that may follow, should not be considered tax advice. Before you make final tax or financial decisions, please secure a professional tax advisor to give you advice about your unique situation. To secure Jason as your accountant, please click on the ‘Services’ link at the top of the page.”