So I got a Pell Federal Grant to pay for my first year of college. Will this effect next years tax return?
Question:
Answer:
You will not need to claim this Pell Grant on your taxes. Your parents (or you) may be eligible to get a tax break for educational expenses.
You will, however, claim your Pell Grant on your FAFSA for 2007/8. You will also claim any other scholarships or need-based employment (e.g., College Work Study).
No - you do not need to report pell grants as income on a federal tax return. They are tax free.
the grant itself . no but you or your parents may be entitled to the HOPE tax credit
More Questions & Answers...