There are many reasons why parents decide to homeschool their children. Some do it because they want their children to receive a quality education free from the constraints of public schools. Others do it because they believe it is more productive. Still others do it because they just want their children to be sheltered from the influences of the bad outside world. Whatever your reason, the fact of the matter is that homeschooling can provide tax benefits for you and your family. In fact, the tax savings can be so significant that almost anyone would find that they benefit from homeschooling as opposed to public schooling.
Let’s take a look at the first tax benefit of homeschooling. In general, the Internal Revenue Service allows you to claim a tax credit for the cost of teaching your child or children in a private school. You are allowed to claim the amount only once, however. This is good news if your children’s schools have a low average per-pupil cost.
Another tax benefits of homeschooling is the amount of time that you can claim for each session of teaching your child. In general, you are allowed to claim up to 5 educational sessions within a year. If your child attends more than one public school, you may also qualify to claim up to 7 educational sessions within a year. In both cases, you will not be eligible to claim the same amount of educational credits in consecutive years. However, you can claim credits towards the next level of education for each session that you attended.
The tax benefits of homeschooling also include a tax benefit for educational expenses. If you spent any money on college textbooks, tuition, or other related expenses while you were homeschooling, you can claim this as an itemized deduction on your income tax return. However, you must be able to prove that the expense was necessary. The Internal Revenue Service has specific requirements and records that you need to meet before claiming any such expenses.
You can also take advantage of the tax benefits of homeschooling by donating to your local public school. If you are a homeschool teacher or tutor, you can volunteer at the local public school to help students with their homework. You will not be entitled to any monetary compensation for this, but it does not hurt to try. It can’t hurt you either.
There are also various other tax write offs that you can claim when you homeschool. Some of these include the interest on your student loan, expenses related to operating your home based business, and a variety of others. It is important to consult a tax professional who is knowledgeable in home school tax matters. While you may be able to take advantage of some of these deductions on your own, it is often best to consult someone who can give you the best advice. Don’t be shy about asking questions. They are there to help you and should be more than willing to help you.
While it may seem like an overwhelming list of tax benefits of homeschooling, there are many more than just financial ones. There are tax breaks that also apply to being a homeschool parent, such as being allowed to work in your own household for the first two years of your children’s lives. Your child will then be eligible for the Dependent Care Insurance policy. Even more valuable is the tax benefits of homeschooling if you plan on teaching your children English in college and want to use your savings to pay for the cost of tuition.
There are many tax write offs that apply to homeschooling as well. When you add up all of these different benefits, you may find that you are actually saving money in taxes over the life of your child. This is because when you include the interest on your tax return and even take into account the state and local taxes your child will be paying, you are really multiplying the amount of money you will be saving. There are even tax benefits of homeschooling that allow you to deduct the cost of materials and supplies needed for the college education of your child.