No, the Internal Revenue Service doesn’t allow you to deduct private school tuition (which transfer fees would be considered a part of the educational expense) to lower your federal tax liability. However, in some states, like Arizona, you can claim private school tuition to help reduce the amount of state tax you’ll owe.
There is one exception to this rule, if your child is attending private school for special needs, you may be able to get a tax break on your K-12 private school tuition. To qualify, you’ll need a physician’s referral proving that your child requires access to specialized private education. And, if your child qualifies, you may also be able to deduct the cost of special tutoring or training in addition to tuition. To claim this deduction,
- you must itemize rather than choosing the standard deduction.
- The expenses would need to qualify as deductible medical expenses that are reduced by 7.5% of your adjusted gross income (AGI) for 2020 and 2021.
Tax Tips Sending Kids to Private School
