With April just around the corner, the deadline for filingincome taxes is near. For some students, this is a time for refundchecks, while for others, it's a time to pay the government.
Many are eligible for tax breaks they may not know about,according to Sallie Mae, a company that provides funding forstudent loans. A variety of tax credits, ranging from student loansto tuition and fee deductions, are possible for collegestudents.
One possible tax break is the Lifetime Learning Tax Credit,which allows a credit of up to $2,000 a year for education expensesof students returning to college to update their skills or changecareers.
Sophomore Sherrick Sherman said he wasn't aware of suchcredits.
"I don't know much about different tax breaks," Sherman said. "Ihaven't had to figure that stuff out yet because I'm still adependant on my parents' (taxes)."
However, students who file under their parents may not receiveall the money they could, said Chuck Davis, district manager at taxspecialist H&R Block.
"Their parents' income may actually reduce the amount of moneythey could receive," he said. "We have to look to see which is morebeneficial -- filing under the parents or filing separately."
The problem is that many people find it difficult to understandthe tax system, said Craig Langstraat, professor of accountancy atThe University of Memphis.
"It's kind of complex to figure out who can qualify for whichtax break," he said.
Some students may find the process too complicated and thereforemay have a fear of completing their tax forms, Langstraat said.
"People have a fear of the complex, especially when it's backedby the power of the government," he said.
However, the process can be made easier by getting help fromprofessionals, Langstraat said.
"In a lot of places, lawyers and accountants can help you figureit out," he said.
Tax specialists are designed to help people figure out how toreceive what they are owed. "
For instance, here (at H&R Block) we offer advice andsomeone can see what their tax refund would be for free," Davissaid. "If someone is a student, we ask specific questions to findout everything they are eligible for."
Davis said some students miss out on money by electronicallyfiling their taxes.
Sherman said receiving money back for going to school issomething that interests him.
"If I knew about the ways to get money back while going toschool, I would definitely try," Sherman said.
People who have already filed for their taxes can still find outif they overlooked deductions, Davis said. "We can file anamendment to help them receive money they missed by filing theirown taxes."
H&R Block is holding a free tax seminar for U of M studentsand faculty on March 25, at 7.pm. in the Fogelman College ofBusiness and Economics.
