Debate facts on educational tax credits

The op-ed by Jason Marion failed to give a full declaration of how our present tax system accounts for the educational tax credits. Three scenarios were given. In only one, that of the out-of-state student, would the student pay more. In the first scenario, the graduate student received $16,000 from the University of Kentucky and $4,100 elsewhere. Federal tax liability is $993; however, educational tax credits reduce that to zero. Second, a student with $32,340 total income has an estimated balance due of $838 after educational credits, which is slightly less than if he or she hadn't been a student. The taxes, after credits, of the out-of-state student double from roughly $1,600 to over $3,200. This is a doubling, not a quadrupling, as stated.

I disagree with the math presented. I also disagree with the taxation of educational scholarships. However, if we are going to debate the issue, let's do it with facts and not hyperbole.

This story was originally published December 1, 2017 at 7:44 PM with the headline "Debate facts on educational tax credits."