Most school expenses are not tax deductible, with the exception of student loan interest. The Student Loan Interest Deduction allows eligible taxpayers to deduct up to $2,500 in interest paid.

There are also tax credits available that may help to cover some education expenses. School expenses covered by the American Opportunity Tax Credit (AOTC) and Lifetime Learning Credit (LLC) include:

  • Tuition and required fees paid
  • Cost of required books and materials
  • Equipment required for the course of study

There are also some school-related expenses that do not qualify:

  • Room and board
  • Insurance
  • Medical expenses (such as student health fees)
  • Transportation

Education costs can really add up. Don’t miss a single education tax benefit you’re owed. Start planning ahead for your biggest tax refund. Book your appointment today.

Sharon Brucker, CPA Senior Tax Research Analyst Published on: August 28, 2025
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*This content is for general informational purposes only. It is not intended to be comprehensive and should not be construed as professional tax or financial advice for any specific individual tax situation. Taxpayers should always consult a qualified professional for individual guidance. This information constitutes a solicitation under the Treasury Department's Circular 230. Most offices are independently owned and operated.