Cornyn Introduces Bill to Extend College Tuition Deduction

Press Release

Cornyn Introduces Bill to Extend College Tuition Deduction

U.S. Sen. John Cornyn, a member of the Budget Committee, introduced legislation, S.2234, to extend for two years an important deduction for taxpayers who pay college tuition. This above-the-line deduction, which is available to all taxpayers regardless if they take the standard deduction or itemize their tax return, is set to expire at the end of this year.

"It is important that college be affordable for working families in Texas and across the country," Sen. Cornyn said. "This deduction will save Texans and all Americans millions of dollars each year, providing a helping hand to taxpayers who want to send their children to college. Unfortunately, the provision will expire this year, so I call upon Congress to extend this deduction as soon as possible. "

Sen. Cornyn's bill, co-sponsored by Sen. Pat Roberts, R-Kan., extends the $4,000 above-the-line deduction for taxpayers who pay college tuition and related expenses through December 2009. As a result, taxpayers would continue to able to deduct up to $4,000 from their federal taxes even if they don't itemize their return and instead take the standard deduction.

The deduction was originally part of the Economic Growth and Tax Relief Reconciliation Act that passed Congress and was signed into law by the President in 2001. It would have expired in 2005, but the Senate, with Sen. Cornyn's support, extended it until the end of 2007 when the Tax Relief and Health Care Act of 2006 was signed into law in December.

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