Washington, DC – With the April 18 tax filing deadline fast approaching, U.S. Senator Sheldon Whitehouse is urging Rhode Islanders to take advantage of the American Opportunity Tax Credit. The credit, which was established by the American Recovery and Reinvestment Act in 2009, helps cover the cost of higher education for thousands of Rhode Island families.
“The influx of millions in tax refunds could provide a helpful boost to Rhode Island families struggling to afford the rising cost of college tuition,” said Whitehouse. “As filing day approaches, Rhode Islanders should be aware of this important program and take full advantage.”
The credit, which can be worth up to $2,500, can be claimed by Rhode Island parents and students currently paying the cost of higher education whose modified adjusted gross income is $80,000 or less for individuals, or $160,000 or less for married couples. According to Treasury Department estimates, the credit delivered $56 million to eligible Rhode Islanders in 2009, but only 29,000 of the 80,000 eligible recipients claimed the credit – leaving millions more unclaimed.
To take advantage of the tax credit, Rhode Islanders must attach IRS Form 8863 to their tax return. Instructions for the form are available on the web at http://www.irs.gov/pub/irs-pdf/p970.pdf.
###
