Get IRS 8815 2011

US Savings Bonds offer a low-risk and modest return investment for saving for your children's college education. Series EE Savings Bonds and Series I Savings Bonds offer special tax benefits when used for qualified education expenses.

US Savings Bonds offer a low-risk and modest return investment for saving for your children's college education. Series EE Savings Bonds and Series I Savings Bonds offer special tax benefits when used for qualified education expenses.

Savings bonds are registered with the US Treasury Department, and can be replaced at no cost if lost, stolen or destroyed. The Education Bond Program makes the interest on certain savings bonds tax free when the bonds are redeemed to pay qualified higher education expenses or to roll over into a section 529 plan.

The savings bond education tax exclusion permits qualified taxpayers to exclude from their gross income all or part of the interest paid upon the redemption of eligible Series EE and I Bonds issued after 1989, when the bond owner pays qualified higher education expenses at an eligible institution.

According to Treasury Direct, interest from EE U.S. savings bonds is taxed at the federal level but not at the state or local levels for income. This interest is also taxed through federal and state estate, gift and excise taxes. ... The ownership of the bond governs who is responsible for paying tax on the interest.

Are they tax-free for graduate school, too? ... Interest earnings on savings bonds usually are subject to federal income tax. However, interest on Series EE and I bonds issued after 1989 can be tax-free when used to pay for qualified education expenses if you meet certain requirements.

Savings bonds are exempt from taxation by any State or political subdivision of a State, except for estate or inheritance taxes. Interest earnings are subject to Federal income tax. Interest earnings may be excluded from Federal income tax when bonds are used to finance education (see education tax exclusions).

According to Treasury Direct, interest from EE U.S. savings bonds is taxed at the federal level but not at the state or local levels for income. This interest is also taxed through federal and state estate, gift and excise taxes. ... The ownership of the bond governs who is responsible for paying tax on the interest.

EE bonds come with a paltry fixed interest rate of just 0.10%, but they're paying a variable rate of 2.30% as of 2019 if you purchased them between May 1997 and April 2005. Federal law allows taxpayers to purchase up to $10,000 per type of bond each year.

US Savings Bonds offer a low-risk and modest return investment for saving for your children's college education. Series EE Savings Bonds and Series I Savings Bonds offer special tax benefits when used for qualified education expenses.

Your savings bonds are all past the early redemption penalty. That means you can cash them in whenever you like you don't have to wait until the savings bond matures. Series EE savings bonds earn interest for 30 years. ... EE/E Bonds Issued May 1997-April 2005.

If a 529 plan is owned by someone other than the student or parent, it is not reported as an asset on the FAFSA. ... If the student is the owner of the savings bonds, the savings bonds will not qualify for tax-free treatment. Any assets owned by the student's siblings are not reported on the FAFSA.

When filling out the FAFSA, you need to include the current value -- not the face value -- of any savings bond you have as an investment asset. ... Add the current value of any savings bonds held in the parent's name to the parent's other investment assets, such as stocks, bonds and mutual funds.

Although you are usually required to pay tax on the interest earned on savings bonds, there is an exemption for higher education expenses. If you cash in the bonds under an education savings bond program, you may be able to exclude the interest from your income. Con: Not everyone is eligible for tax advantages.

Assets include: Money in cash, savings, and checking accounts. Businesses. Investment farms. Other investments, such as real estate (other than the home in which you live), UGMA and UTMA accounts for which you are the owner, stocks, bonds, certificates of deposit, etc.